Landmark Legislation Will Strategically Position California to Protect Consumers and Recover Revenue

Underground Economy Robs the State of Billions

Landmark Legislation Will Strategically Position California to Protect Consumers and Recover Revenue

Sacramento – Counterfeiters, smugglers and other illegal operators in the Underground Economy are depriving California of an estimated $8 billion in state taxes that could be spent on schools, public safety, hospitals and other essential services. To combat the criminal activity and level the playing field for California businesses, Senator Curren D. Price, Jr. (D-Los Angeles) has partnered with the Board of Equalization (BOE) to promote legislation (Senate Bill 1185). Senate Bill 1185 would create a Centralized Intelligence Partnership – a central location for agencies to share information that will help them expose, investigate and prosecute illegal operators as well as create a statewide evasion hotline for the public to anonymously report illegal activities.

"These are startling and sobering figures," said Senator Price. "We must capture the billions lost to the underground economy by creating a concerted and comprehensive effort to protect our state’s signature industries and California’s consumers and taxpayers. I am making it a legislative priority to target directly this drain on California’s struggling economy.”

"Government is not properly aligned to deal effectively with tax evasion by organized crime. The Centralized Intelligence Partnership creates an operational structure and collaboration that is critical and necessary to mitigate criminal activity from those who manufacture and distribute illegal products and refuse to pay their fair share," said BOE Chairman Jerome E. Horton. "This illegal behavior places an unfair burden on California taxpayers."

Criminal activity in the underground economy includes a variety of illegal activities such as selling counterfeit goods like “knock off” designer items, offering and paying for services under the table, and smuggling goods into California without paying the required taxes. Criminals that don't pay taxes harm legitimate businesses by offering goods for lower prices and deprive the state and local governments of corporate, personal and sales and use taxes used to fund critical state and local public services. Illegal operators in the Underground Economy ignore many state laws, deprive workers of employment protections, contribute to crime in our local communities and create health and safety hazards for consumers.

The Centralized Intelligence Partnership is anticipated to increase California’s revenues and consumer protection by accelerating the investigations process and reducing prosecution costs while working together with state and local law enforcement and prosecutors.

Views: 39


You need to be a member of Leimert Park Beat to add comments!

Join Leimert Park Beat

Leimert Park Beat is the news and social network for Leimert Park and the surrounding neighborhoods. Stay informed. Join now!


• Got news you think everyone should know? Blog it.

• Have a show or attending a benefit? Put it on the calendar.
• Video of the big game? Embed it.
• Photos of your business or the school play? Upload them.


With your help, raised money to hire reporters, graphic artists and community members to cover our area.
Read the stories - Urban Economy 411, Redevelopment Hell and One of these don't belong.

Latest Activity

DojO- commented on DojO-'s event The World STAGE Program: Roots 1st · Established by Derf Reklaw, teacher & performer
"  Derf Reklaw @ The "new" STAGE "Open House Fundraiser"  "An unforgettable fundraiser today at the World Stage!" - Chuck Koton (photo)"
37 minutes ago
DojO- updated an event

The World STAGE Program: Roots 1st · Established by Derf Reklaw, teacher & performer at The "new" World STAGE

October 3, 2016 at 3pm to October 30, 2016 at 5pm
 Derf Reklaw, Director, recording artist & performer   See More
45 minutes ago
Profile Icon via Twitter
Jose Ubaldo posted blog postsNightly Full Street Closure at La Cienega Boulevard for work on new rail bridgeM...
Twitter4 hours ago · Reply · Retweet
Jose Ubaldo posted blog posts
7 hours ago
Profile Icon via Twitter
Susan B. Anthony would be proud to see her grave covered with New Yorkers’ ‘I Voted’ stickers
Twitter8 hours ago · Reply · Retweet
Profile Icon via Twitter
Twitter9 hours ago · Reply · Retweet
Profile Icon via Twitter
Two corrupt cops joined forces with drug dealers. Now, dozens of criminal cases could be in jeopardy
Twitter9 hours ago · Reply · Retweet
Profile IconLatest Events - University Park Family

Hansel & Gretel Bluegrass, narrated by Bradley Whitford with music of The Get Down Boys at 24th Street Theatre

A new version of the classic story set in Depression-era Kentucky narrated by Bradley Whitford (in a special video performance) and featuring the rollicking bluegrass sounds of The Get Down Boys. Multiple award-winning 24th Street…

See More
13 hours ago

© 2016   Created by enhager.   Powered by

Badges  |  Report an Issue  |  Terms of Service