New Law Will Help Preserve Good Jobs in the Los Angeles Area
El Segundo, CA – California State Board of Equalization (BOE) Chairman Jerome E. Horton announces that space flight property will be exempt from property taxes levied annually beginning January 1, 2015, and for the following ten years. BOE-supported Assembly Bill 777 (Muratsuchi) was signed.
“I applaud Governor Brown and the legislature for realizing this exemption will help preserve jobs held by SpaceX employees in Hawthorne, as well for employees throughout our state at other aerospace companies. This is great news for our state’s economy.”
The legislation exempts certain types of space flight property and its components from property taxes levied by county assessors. The BOE estimates that according to county assessors, the annual property tax loss will be at least $1.1 million.
“While this legislation might cause slight losses in property taxes at the local level, the benefits in attracting aerospace companies and well-paying jobs they provide will more than make up for it. Plus, it will enable California to remain at the forefront of this exciting and dynamic industry.”