Could the flat tax come to California?
Gov. Arnold Schwarzenegger said today that he would like to see such “radical” proposals come out of a commission now studying an overhaul of the state’s tax system. The governor told the editorial board of the Sacramento Bee that he hoped the commission would not be afraid to propose something like “a 15% straight tax.”
Maybe if you eliminated all other taxes.
“That’s the kind of radical, daring kind of a proposal that I want to see on the table so we can look at it and say, ‘Oh, let’s study this, maybe that is the way to go,’ ” Schwarzenegger said during the discussion, which was webcast.
The current system, based on highly unstable income tax revenue that fluctuates with the economy, “doesn’t work,” Schwarzenegger said.
I dunno. I think of it as sort of an incentive for the politicians to keep the economy humming rather than drive it into the ground with insane pro-illegal immigration policies and the like.
Advocates of a flat tax, which applies a single tax rate to all income, say it increases compliance with the tax codes because it is so simple and easy to understand. But opponents dislike that it taxes the wealthy at the same rates as the poor.
Or the poor at the same rate as the wealthy. You decide. Either way, I've heard that the poor don't pay taxes and that the wealthy don't pay taxes. I'm so confused.
Steve Forbes and Jerry Brown both pushed for it during their presidential campaigns.
Musta pi$$ed off the Accountants' Union or something.
Schwarzenegger said he was concerned that the commission might be too timid in what it suggests and rule things out in advance thinking that either Democrats or Republicans would object.
“I hope and I pray that they don’t think they have to make a political decision,” he said.
Arnold, worrying about it won't change anything. Apparently not even Californian voters get it. After all, how can they be overdrawn if they still have checks left in their checkbook, right? I'm sure someone will find some money somewhere! Maybe California could start investing in some of their lottery tickets! |