Government does not solve problems, it creates them…with our hard earned money. We, here in Taxachusetts, know this better than most. Our political representatives are ,among other things, spending machines. I guess we wouldn’t mind so much if the majority of the spending wasn’t wasted on poorly managed projects, corruption and vote-buying schemes disguised as ill-conceived entitlement programs. With only one party in power and absolutely no repercussions to their actions, those of us not eligible for or interested in receiving handouts are left with sore backs from supporting this broken system. Well, some of us are fighting back, and this November, we all have the chance to make history.
Thanks to Carla Howell and her Committee for Small Government, Massachusetts tax payers will have the opportunity to vote to eliminate the State Income Tax in November. You did read that correctly. Carla Howell is giving us the opportunity to fight back. Her group collected more than 66,593 signatures needed to put the question before the State Legislature. The Legislature had the choice of approving, rejecting, changing, or ignoring it. They ignored it, of course, but our founding fathers anticipated such tyranny and gave us the petition process which allows citizens to make laws without legislative approval if they can demonstrate consistent public support. So, the Committee for Small Government conducted a second petition drive, but this time only needed 11,099 signatures to get the question on the ballot. Well, Carla Howell confirmed yesterday on the Howie Carr Radio Show that they obtained between 15,000-16,000 signatures. It looks like we’re headed for a show down. The initiative is simple: a 50% decrease in the Income Tax effective January 1, 2009, and the rest abolished one year later.
Now, this isn’t the first time that we’ve had this opportunity. In 2002, 885,683 Massachusetts citizens voted to abolish the State Income Tax. This represented 45% of the voters and shocked the political establishment at the time. They never expected it would garner so much support. So now that Carla Howell is leading the charge again, the powers that be have pledged to do everything they can to fight it.
Their go-to strategy is and always has been: scare tactics. Governor Deval Patrick called the initiative a “dumb idea that would utterly devastate Massachusetts”. AP’s Steve Leblanc reported that he then said: “Civilization costs something…I’ve lived in places with no taxes including Darfur 30 years ago.”
Boston Globe Columnist Jeff Jacoby responded: “To begin with, Massachusetts without a personal income tax would not be a ‘place with no taxes’. It would be a place with corporate income taxes, sales taxes, meals taxes, hotel taxes, excise taxes, worker’s compensation taxes, estate taxes, capital gains taxes, gasoline taxes, cigarette taxes, wine and liquor taxes, motor vehicle taxes, and real estate transfer taxes, not to mention the taxes (‘license fees’) imposed on a vast array of professions and occupations. The $11 billion collected in personal income taxes accounts for only 40 percent of state revenue. Take that away and the government of Massachusetts still helps itself to more than $16 billion a year. That’s not exactly ‘no taxes.’” Jacoby went on to write: “Civilization costs something…maybe so, but in Massachusetts lately, taxes are also the price we pay for Big Dig corruption, for larcenous public-employee pensions, for state-owned golf courses and wretched public schools.”
Though it remains to be seen whether or not the scare tactics offered by Governor Patrick and others will work in November, it is clear that they have in the past. When given the opportunity to vote out the Automobile Excise Tax (the dumbest tax that we pay), we voted 51%-49% to keep it. Many were swayed by the sappy media campaign depicting poor school children without books, lunches or diversity training. That was just for the Automobile Excise Tax. We can only imagine what is in store this time. Reason Magazine reported in May that: “A far from rag-tag crew of union members and city and town employees groups have brought in a hired gun in the form of former Blue Cross Blue Shield executive and civic leader Peter Meade to lead their Coalition for Our Communities. This cleverly named group will lead the charge against the initiative. They are interviewing PR firms right now. Carla Howell welcomes the challenge: “the more they advertise, the more they will be helping us out. We don’t need to sell our side. Our biggest challenge is just making sure that every voter in the state knows about it.”
So other than saving the average tax payer $3,600 per year, what will really happen if we eliminate the State Income Tax? I believe that it is the necessary first step in getting back control of the runaway train that is Massachusetts government. It will force our political leaders to make difficult, fiscal decisions that will make our state stronger and more efficient. It is the best way to eliminate wasteful projects, wasteful spending, corruption and ill conceived entitlement programs. It will force our representatives to demand results and accountability. It will take our hard earned money out of the hands of politicians and back into our hands where we will use it to start businesses, invest in our economy, spend wisely, or donate charitably. There is no doubt in my mind that we, the people, will use this money more productively than it is being used now.
In conclusion, the polling firm Fabrizo McLaughlin conducted a survey in April. They found that Massachusetts voters believe that our government wastes 41 cents of every dollar of revenue they receive. As coincidence would have it, eliminating the State Income Tax would reduce the state’s budget by about 40 percent. Thanks to some courageous citizens, we have the opportunity to fix a broken system. Let’s not be swayed by high-priced marketing campaigns, let’s join other income tax free states like Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming and make the most of this golden opportunity.
Sources:
Ebbert, Stephanie; “Activists push to repeal state income tax”; www.boston.com; 05.12.2008
Jacoby, Jeff; “A resolution: Abolish the income tax”; www.boston.com; 12.30.2007
Mangu-Ward, Katherine; “Tax Revolt in Tea Party Zone”; www.reason.com; 05.13.2008
Read more columns by Todd A. Carges
