Facebook IPO May Equal 20% of California Personal Income Growth

Facebook Inc. (FB)’s initial public offering likely will account for 20 percent of California’s personal income growth this calendar year, the state fiscal analyst said.

California is likely to take in about $2.1 billion in taxes from the biggest internet IPO during the next 13 months, according a report today from the Legislative Analyst’s Office. The state expects personal income to grow 4.9 percent in 2012. If the Facebook IPO were excluded, that would total 4.0 percent, the agency said.

Money paid to company executives, investors and insiders would equal 1 percent of all personal income in 2012, the agency said.

To contact the reporter on this story: Michael B. Marois in Sacramento at mmarois@bloomberg.net

To contact the editor responsible for this story: Stephen Merelman at smerelman@bloomberg.net

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