Tax Laws You Have To Read
1. California Becomes First State to Provide Free Medical Insurance to Illegal Aliens!
Starts Jan 1, 2024. Estimates are 764,000 aliens will qualify as low income recipients of MediCal. Financial commitments to program increase from 835 million this year to 2.6 Billion annually next year.
Comment: This is part of the reason why California will have a 68 Billion Dollar deficit next year. Projections by the experts previously called for a 14 Billion Dollar estimate for deficit. Libs think they have an unlimited ability to spend regardless of revenues. Plan must be to increase taxes. No way they will cut spending.
2. Raising Homeowners Insurance
State Farm got approval to raise homeowners insurance rates by 20% starting March 2024! Company insures 20% of all California homeowners. Other insurance companies have also applied to raise rates similarly.
3. Increase of Food Workers Pay
AB 1228 increases fast food worker’s pay by $4.00 an hour to $20.00 an hour starting 2024. 2,000 Pizza Hut drivers laid off ahead of law. Law intended to improve lives of workers has unintended consequences of costing many workers their jobs.
Comment: This will be the first of many layoffs in that industry as it will kill profits unless ford prices are raised considerably. Disadvantaged people are the ones who patronize fast food restaurants the most and will have to pay much higher prices for the food.
4. Woke State Bar Board
Woke State Bar board (who know nothing about practicing law) recommended performance tests instead of bar exam!
5. Lawsuit Challenging Real Estate Commission Structure Filed in San Francisco Bay Area
Cookie cutter to successful Missouri federal case. Antitrust laws used to overturn sharing 5 to 6% between buyer’s agent and seller’s agent. Idea is to lower commissions paid by seller at closing by making buyer to negotiate buyer’s agent’s compensation directly with and pay his own agent for sales services!
Comment: As I predicted over 6 months ago, this will be happening everywhere. With all the plaintiff law firms looking for new victims to pick their bones clean and having a successful template to follow, I predict in a few years the costs to sell a home will be dramatically less and more in line type of brokerages will open to assist buyers and sellers at much lower rates.
6. Paper Napkins Proper Contract to Purchase Gas Stations
Tiffany Builders LLC v Deirahim. Appellate Court finds terms to purchase 13 gas stations on an informal scribbled paper using a borrowed pen with some future terms unspecified a valid enforceable contract. Paper prepared at a coffee shop and signed by both parties. Court determined blanks could be filled in using testimony of intent to clarify any ambiguity.
7. California projected budget deficit now at 68 Billion dollars.
Just this past June 2023 the budget analysts projected the deficit at 14.3 billion dollars. Oops!
Comment: What are the spendthrift libs going to do now? If they were the federal government, they would just print more money and put the nation’s future generations at risk. But their plans now are a possible one-time halt of spending for current selected programs and floating more bonds. Bonds are just a fancy word for more debt. Libs blame deficit on lowered tax revenues. Projections in the future years are $30 Billion per year under water. Newsom will find some way to spin this. No one questions why tax revenue is much lower! Perhaps people are making less money due to the over-regulations and over-taxing of businesses? Those budget analysts are top notch! Must work from home with Fridays off.
8. Rooftop Solar Panel Industry in the Dump
Companies filing bankruptcies. 17,000 workers laid off in California. Cannot survive without government subsidies. Sales down 75% for installation companies since California lowered the money paid for excess electricity sold to the grid. Sun Power Corp shares plummeted 32%. Lower payments for electricity to solar panel owners reflect actual value. Non-solar owners were paying in excess of $5 Billion more for electricity and paying for entire costs of the grid!
Comment: Green energy including solar, wind, and EV cars are all dependent on government handouts. When tax incentives stopped for certain electric cars, sales plummeted. Government cannot develop infrastructure in time to meet the mandated requirements to shift over to electric vehicles. Wind energy is a flop as well. Need to build nuclear power plants if they really want green energy!
9. Biden’s Plan for 500k EV Charging Stations Along Major Highways by 2030 is a Disaster
In his quest to make everyone turn to electric cars, Biden had Congress appropriate over $5 Billion in the misnamed Inflation Reduction Act. Plan was to have states apply for funds to federal government. So far only two states have even been approved for the money and only a total of 27 states have applied. Supposed to be charging stations every 50 miles. 80% of surveyed Americans expressed concerns of lack of charging stations for the reluctance to buy and EV.
Sales of EV cars are terrible compared to expectations/predictions. Federal application guidelines are difficult for states to figure out and then meet. National bipartisan think tank conducted studies and dispute the 500k charging stations claimed needed by Biden. Figure they came up with is 1 million charging stations.
Biden’s plan was adopted almost 2.5 years ago. No way 5,000 or needed 1 million charging stations will be available for many, many years to come. Certainly only a few will be available by 2030 if things do not drastically change.
Comment: This is what happens when you take the free market out of the equation and impose socialism. That coupled with total inefficiency and screw ups of government red tape and total incompetence gives us a directive that cannot be successful.
About the Author
Disclaimer:
Scott Souders is a real estate attorney who has practiced real estate law in excess of 45 years in Southern California. The Real Estate Law Update cites cases or statutes which are summarized and should not be relied upon without fully reading the cases or statute in the advance sheets and shepardizing the same and consulting with your own attorney.
About the Author
Disclaimer:
Scott Souders is a real estate attorney who has practiced real estate law in excess of 45 years in Southern California. The Real Estate Law Update cites cases or statutes which are summarized and should not be relied upon without fully reading the cases or statute in the advance sheets and shepardizing the same and consulting with your own attorney.
Recommended Posts
