Sunday, March 03, 2013

Republican Governors Miss the "No Revenue, Ever" Memo

Interesting how Republicans at the national level are willing to bring our economy to a halt over "no new revenue" while their counterparts out in the states are socking it to their constituents for some of the largest tax increases ever.

A sampling, in bold.

Kasich, Ohio.

Gov. John Kasich took the interesting step recently of introducing a state budget containing the largest middle-class tax increase in Ohio’s history.

Included in Kasich’s most recent budget is a proposal to “broaden the sales tax base” and impose taxes on hundreds — if not thousands — of products and services not previously subject to Ohio’s sales tax...

These new “Kasich taxes” are crucial to the governor’s plans to fund an income tax cut that will disproportionately help the wealthiest among us. According to a new non-partisan study, if all of Kasich’s tax code changes are ratified, Ohioans making more than $335,000 a year will get a handout of more than $10,000, while many middle-class families will end up paying more in taxes than they do today.

And add another "largest in history". McDonnell, Virginia.

Tea partyers and conservatives are sounding the alarm, calling on Virginians to voice their outrage to Republican Gov. Bob McDonnell, who just signed into law what one economic analysis called the largest tax increase in state history.

The tax hike comes by way of a transportation bill. Of concern to conservatives is a statewide tax hike from 5 percent to 5.3 percent, an increase in the car-titling tax from 3 percent to 4.3 percent and an increase in diesel fuel taxes to 6 percent, according to conservative news site National Review Online.

$1.13 billion "a year", and some outraged conservative sites are claiming it's $6 billion total.

Shifting the burden is popular. Jindal, Louisiana.

Louisiana Governor Bobby Jindal (R) recently rolled out a plan to replace his state’s personal income and corporate taxes with an increased sales tax. Such a move would shift taxes from the rich to the poor, who are disproportionately hit by the sales tax.

According to an analysis by the Institute on Taxation and Economic Policy, Jindal’s plan will raise taxes on the bottom 80 percent of Louisianians, while cutting them for the richest 1 percent.

Brownback, Kansas.

Even as Brownback promises future reductions in individual income tax rates, he’s pushing to eliminate two popular income tax deductions for homeowners and to cancel a decrease in the sales tax scheduled for July.

Democrats and some Republicans have attacked this year’s tax plan from Brownback as a big net tax increase over the next three years...

The Senate committee’s version preserves the deduction for property taxes but scraps the mortgage interest and sales tax breaks. The bill would net the state $918 million in new revenues over the next three years, before taxpayers saw most of the benefit from cutting individual income tax rates further.

Snyder, Michigan.

The child deduction is gone. So are special exemptions for seniors and those getting at least half their income from unemployment checks.

A refundable credit for low-income workers was reduced, impacting about 783,000 returns. Eliminated are state credits for city income taxes, college tuition, adoptions and donations to universities, public radio and TV stations, food banks and homeless shelters.

Add it up and about half of all Michigan filers are seeing a considerable tax increase ahead of the April 15 deadline, said Terry Conley, a tax partner at Grant Thornton in Southfield...

The Republican governor signed the sweeping tax changes in May 2011. To offset a $1.6 billion business tax cut, he and GOP legislators approved a $1.4 billion increase on individuals, which included setting the income tax rate at 4.25% instead of letting it eventually drop to 3.9% in 2015 under a previous law.

Snyder is now proposing a $1.2 billion hike in taxes and fees to fix the roads.

Or, they run deficits to pay for more tax cuts. Walker, Wisconsin.

But not all the news was rosy. Using the administration's own accounting according to private-sector standards, Walker's budget would grow the state's deficit in its main account by nearly $600 million over the two years to $2.64 billion.

Need I go on? I probably could, but you get the point.

This is the great unmentioned story as of right now: There is no fundamental Republican opposition to taxes, or these fellows would be hoisted up on their own no revenue petards. And while a few of the true believers are squawking up a storm about massive tax increases on the poor and middle class, the major disconnect in overall party message gets little notice in the current national media stream of consciousness.

Whaddayawanna bet they try to blame Obama for this too?