D’oh! California Overestimates Tax Revenue From Facebook IPO
This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry
The state of California has overestimated how much tax revenue they would collect after the Facebook IPO. Employees that had stock in the company made about half what was expected from the IPO. According to John Erlichman of Bloomberg, tax revenue is at risk in California because it was assumed that they would get $1.9 billion from Facebook execs. The state of California and the federal government will get around half of that amount now.