A Byrd's Eye View From The Capitol

 9/3/2010

Georgia's Tax Commission and the State Spending Problem

By Susan Meyers, on Aug 27, 2010

As Georgia's tax commission commences its work, word is it is considering tax reform that would ditch corporate tax breaks, offer a property or income tax cut and turn to a consumption tax or sales tax increase to fund state coffers.
 
Steve Forbes argues that the only fair tax is a flat tax (http://www.realclearmarkets.com/articles/2009/05/the_flat_tax_vs_the_fair_tax.html) It absolutely unfair to penalize those who work hard and earn more money, especially when they create much-needed jobs. And it is certainly insane to nickel and dime every service including haircuts and vet bills with a consumption tax.
 
Before lawmakers move on any tax policy, they need to look in the mirror. Georgia government really doesn't have a revenue problem. It has a spending problem. Until lawmakers embrace significant privatization efforts, layoffs that match what we've seen in the private sector and define the role of government by eliminating agencies through state Rep. Charlice Byrd's Sunset Act, this tax commission is an exercise in futility.
 
The AJC pointed out last week that while the private sector has fallen off a cliff in hiring, government continues to hire in Georgia: http://www.ajc.com/business/government-jobs-grow-despite-595574.html
 
The road to socialism in Georgia begins with every check cashed from the federal government. Each time a federal check arrives, it is like giving state lawmakers another shot of whiskey. Fiscal sobriety is nowhere in sight.
 
I predict more chaos such as what ignited around the GREAT plan if the next General Assembly doesn't embrace significant spending cuts before ever talking about tax reform.

    

 

 
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