Facebook's IPO Could Net California Up To $2.5 Billion In Tax Revenue

According to California's Legislative Analyst's Office, Facebook going public could be very good to more than just investors and longtime employees. Their estimates have the IPO netting the state in the neighborhood of $2.45 billion from income taxes.

Since Facebook hasn't actually sold any stock just yet, California's estimate is currently nothing more than an educated guess. But there's enough certainty that the IPO will create a considerable number of new millionaires and billionaires for the state to start taking the revenue into consideration as they plan budgets. And as The Atlantic's Alexis Madrigal points out, no matter how the IPO goes, "Facebook going public will be great for a state that needs to close a multi-billion dollar budget gap over the next couple of years." [The Atlantic]

Image: Alexis Madrigal/The Atlantic