Tech a growing source of California’s tax revenue — part good news and bad news

The tech industry has contributed an increasing amount to the state budget, and even the way tech companies pay their employees has become a growing source of the state’s income tax revenue, a new analysis shows. Many tech companies pay their employees base wages as well as stock options. Vested stock options — options that have matured and are fully owned by employees, who can choose to sell them — are treated like ordinary income for tax purposes. Companies must pay withholding taxes on part of that income to state and federal governments. Last year, those taxes paid by the four largest tech companies in the state — Apple, Google…