Keidanren sent letters to the California State Assembly leadership and to California Governor Gavin Newsom expressing strong opposition to California Assembly Bill (AB) 1790.

The bill would eliminate California’s water’s-edge election, effectively imposing mandatory worldwide combined reporting (WWCR) and exposing foreign-headquartered companies to substantial compliance burdens, heightened uncertainty, and the risk of double taxation on income already taxed in other jurisdictions.

Keidanren is concerned that the bill creates uncertainty regarding future tax exposure and investment planning, undermining the stability and predictability that have made it possible for companies to make long-term investment decisions involving facilities, workforce expansion, research operations, and supply chain development in California.

Letter from Keidanren to CA Assembly Leadership on AB 1790

Letter from Keidanren to Governor Newsom on AB 1790