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California charges for online downloads Republicans critique
The state of California approved a new budget worth $351.7 billion, including the implementation of the first sales tax on software delivered online. This is expected to generate around $2 billion annually for the state and local governments starting from the 2028 fiscal year. The move is part of an effort to expand the tax system to align with the modern software market. The decision has faced criticism from some Republican legislators who believe it will increase business costs and impact the economy. Additionally, the budget includes measures to boost financial reserves to prepare for future market fluctuations.
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