US | California Broke California May Tax Beer, iTunes, Sex Toys Partisan battle heats up as budget shortfall looms By Nick McMaster Posted May 9, 2008 2:43 PM CDT Copied Apple iTunes Gift Cards on display at Best Buy in Mountain View, Calif., Thursday, April 3, 2008. (AP Photo/Paul Sakuma) A $1.80 tax on every six-pack of beer. An iTunes sales tax. A 25% tax on sex toys and pornographic entertainment. These are just some of the more creative measures put forth by California's Democratic lawmakers to close a budget shortfall estimated at $20 billion, the Los Angeles Times reports. The Dems face stiff opposition from Republicans, who have vowed to stop any tax increases. But the economic reality remains: "If we don't do some of these things, we are going to have to cut nearly $5 billion out of schools,” says Charles Calderon, chairman of the state’s revenue committee. Read These Next The Bezos-Sanchez wedding: guest list, cost, the dress, and more. Trumps ends trade talks with Canada. This is why your cat loves sleeping on its left side. Cops nab 9th fugitive in New Orleans, with 'one more to go.' Report an error