SACRAMENTO (CBS / AP) — California voters have approved closing a corporate tax loophole that Democratic lawmakers weren’t able to pass through the Legislature.

Proposition 39 was approved in balloting Tuesday.

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The Yes on Prop. 39 campaign was largely funded by nearly $30 million from billionaire hedge fund manager Tom Steyer. Steyer said it was an issue of tax fairness.

Proposition 39 closes a provision that allows multi-state corporations to choose between two tax formulas. By using just one formula, the state will generate about $1 billion a year.

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Results:
President – Nationwide | Bay Area Results | Across California

The Legislative Analyst’s Office has estimated the change result in up to 40,000 more jobs in California.

There was no formal opposition campaign but some business and anti-tax groups argued that repealing the tax break would make California less business friendly.

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