Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

1/14/2013 (3 years ago)

Catholic Online (www.catholic.org)

Republicans keen on ending state income taxes with sales taxes compensating for lost revenue

In Washington, plans to overhaul the federal tax system seem to be falling by the wayside. In the meantime, lawmakers in individual U.S. states are planning major tax changes, particularly in the South and Midwest.

U.S. states have long been the vanguard to test reforms too controversial for Washington to tackle.

U.S. states have long been the vanguard to test reforms too controversial for Washington to tackle.

Highlights

By Catholic Online (NEWS CONSORTIUM)

Catholic Online (www.catholic.org)

1/14/2013 (3 years ago)

Published in Politics & Policy

Keywords: Tax reform, republicans, sales tax, Kansas, North Carolina


LOS ANGELES, CA (Catholic Online) - Republicans in these states have consolidated control of state legislatures and governorships, giving them the authority to test theoretical tax plans.

Louisiana Republican Governor Bobby Jindal called last week to end the state's income tax and corporate taxes, with sales taxes compensating for lost revenue. A similar plan is supported by Republicans in North Carolina. Cutting its income tax significantly last year, Kansas may trim even further. Oklahoma is expected to try again to cut its taxes significantly.

"When it comes to getting pro-growth tax reform done this year, the only real opportunities are at the state level," director of state affairs for Americans for Tax Reform Patrick Gleason says. The Washington-based anti-tax lobbying group headed by small-government conservative activist Grover Norquist.

Gleason's group and other conservative pressure organizations, such as Americans for Prosperity, have targeted state capitals for tax reform campaigns.

Shifting the overall tax burden to higher sales taxes has been a long-standing goal of some tax theorists. Critics say that this approach is regressive and unfairly burdens the middle class and the poor, who spend more of their earnings on items subject to sales tax.

A state tax expert with the left-leaning Center on Budget and Policy Priorities Nicholas Johnson gave the chances of sweeping tax changes taking hold a low probability.

Johnson said he was concerned the efforts in the states could move the tax discussion in a direction which would be harmful to middle and low-income taxpayers and make balancing state budgets harder. "Even if this is too radical, if it makes other radical schemes seem more reasonable, that's worrisome," he said.

The time may be nigh to put this theory into practice.

Thirty-seven of the 50 states now have single-party control of legislatures and governorships: 25 Republican, 12 Democratic. In those states, unlike Capitol Hill, partisan gridlock is not a big issue, making difficult projects such as tax reform easier. Fresh ideas are becoming more attractive in states that have suffered for years from high unemployment and tight revenue

"We have no choice but to make change," Bob Rucho, a Republican state senator in the solidly Republican North Carolina declares. Rucho is leading a push in that state for major tax changes.

He and other like-minded lawmakers have a plan to do away with all state individual and corporate income taxes. The plan would replace lost revenue with a new business license fee and a higher sales tax on goods and services not now taxed by the state, such as legal, accounting and spa services, and food.

U.S. states have long been the vanguard to test reforms too controversial for Washington to tackle. Although several states, including Texas and Florida, have no individual income tax, Alaska stands out in modern times for having repealed its personal income tax. Alaska was able to replace the lost revenue with its huge state oil income.

---


Pope Francis: end world hunger through 'Prayer and Action'


Copyright 2015 - Distributed by THE CALIFORNIA NETWORK

Pope Francis Prayer Intentions for February 2016
Universal:
That prisoners, especially the young, may be able to rebuild lives of dignity.
Evangelization: That married people who are separated may find welcome and support in the Christian community.



Comments


More Politics & Policy

Trump, Sanders win with commanding leads in New Hampshire - but what happens next? Watch

Image of Trump and Sanders easily won the New Hampshire primary with large margins.

By Marshall Connolly, Catholic Online (CALIFORNIA NETWORK)

Both Trump and Sanders are riding high this morning following stunning victories in New Hampshire. Republicans reported massive turnout, shattering any previous turnout record. LOS ANGELES, CA (California Network) - The New Hampshire primary has finished with Donald ... continue reading


Deal with the Devil or practical politics? Is there a pro-life case for Bernie Sanders? Watch

Image of Would a pro-life strategy that involves Bernie Sanders be a deal with the devil, or a practical strategy?

By Marshall Connolly, Catholic Online (CALIFORNIA NETWORK)

A lot of Catholics like Bernie Sanders. Recently, we saw an outpouring of support of the candidate in the comments under an excellent article written by Deacon Keith Fournier. Many Catholics appreciate Sander's stance on some social issues - after all, he is a ... continue reading


Bernie Sanders surprises many with sudden surge in New Hampshire Watch

Image of Maintaining a low profile for presidential candidate Bernie sanders is more difficult now, as he comes to the forefront. Photo courtesy of Reuters.

By Catholic Online (CALIFORNIA NETWORK)

Seen by many as a humble Senator with big ideas, the relatively unknown, until recently, Bernie Sanders seemed at first to pose no threat to Hilary Clinton for the Democratic nomination in the 2016 presidential race. That has changed noticeably - Sanders is ... continue reading


What's going on with the New Hampshire primary? Watch

Image of New Hampshire kicked off the primaries this year and so far Bernie Sanders is in the lead (iStock).

By Kenya Sinclair (CALIFORNIA NETWORK)

The first votes have been cast in the New Hampshire primary. In keeping with tradition, the voting began at midnight, as it has for every primary since 1960.  LOS ANGELES, CA (Catholic Online) - Today marks the beginning of an exciting political shift in the ... continue reading


CURTAIN CALLED: GOP debate starts hilariously as candidates fail to appear on cue Watch

Image of When candidates Marco Rubio and Jeb Bush's names were announced, the two men were still blocking their way. Sneaking past, Jeb grinned and bumped Donald Trump. Photo courtesy of ABC News.

By Catholic Online (CALIFORNIA NETWORK)

It is a bit trivial to say about such an important event - but the GOP presidential debate in New Hampshire this weekend could have done with a bit more rehearsal. Candidate Ben Carson came out too early, Donald Trump stood with Carson, and candidates Marco ... continue reading


'Faith is the great cure for fear': Obama speaks at annual National Prayer Breakfast in WA Watch

Image of At the annual National Prayer Breakfast, Obama spoke against Muslim stereotypes and hatred (AP).

By Kenya Sinclair (CALIFORNIA NETWORK)

During the annual National Prayer Breakfast in Washington, President Barack Obama spoke of God, fear and love. LOS ANGELES, CA (Catholic Online) - At the breakfast, both Democrats and republicans set aside their differences to build relationships based on their ... continue reading


After Iowa fail, Donald Trump vows to 'beat the ____ out of ISIS' Watch

Image of Many noted that Donald Trump seemed unusually subdued in New Hampshire. He claimed that he remained optimistic after his second place finish in the Iowa primary. Photo courtesy of Reuters.

By Catholic Online (CALIFORNIA NETWORK)

While he faced defeat in the Iowa caucuses, GOP presidential candidate Donald Trump was full of his usual bluster in New Hampshire. Never one to mince words, he vowed to "beat the ___ out of ISIS" if he was elected president. LOS ANGELS, CA (Catholic Online) - ... continue reading


'Ted Cruz didn't win Iowa, he stole it': Trump furiously rants on Twitter about Cruz's win demanding a new Iowa 'election' Watch

Image of Donald Trump calls for a new election or to nullify Cruz's results (Reuters).

By Thomas Heed (CALIFORNIA NETWORK)

When news of the Cruz campaign "mistake" concerning Ben Carson at the Iowa caucus reached Donald Trump, he was furious. The business tycoon took to Twitter to call for a new election or to nullify Cruz's results. LOS ANGELES, CA (Catholic Online) - Despite his initial ... continue reading


Republican Candidate Drops Out of Presidential Race: But who was it? Watch

Image of

By Abigail James (CALIFORNIA NETWORK)

Following a disappointing show in the Iowa caucus, with only 4.5 percent of the votes, Kentucky Senator Rand Paul has officially dropped out of the 2016 presidential race. LOS ANGELES, CA (Catholic Online) - "It's been an incredible honor to run a principled campaign ... continue reading


Political sabotage: Ted Cruz pleads GUILTY to wronging Ben Carson at Iowa caucus Watch

Image of Ted Cruz admitted his campaign started the lie that Ben Carson was dropping out of the race prior to the Iowa caucus (NY Times).

By Thomas Heed (CALIFORNIA NETWORK)

In a shocking admission, Ted Cruz admits his staff spread rumors of Ben Carson dropping out of the runnings just before the Iowa caucus voting began. LOS ANGELES, CA (Catholic Online) - As previously reported, the Iowa caucus was filled with surprises that included ... continue reading


All Politics & Policy News

Newsletters

Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Subscribe to Catholic OnlineYouTube Channel

the FEED
by Catholic Online

  • Daily Readings for Thursday, February 11, 2016
  • Stations of the Cross - Fourth Station: Jesus meets his mother HD Video
  • Palm Sunday HD Video
  • Take this thought provoking Stations of the Cross survey
  • Is Valentine's Day...? (Take the quick survey!)
  • Can you answer these four challenging questions about Lent?
  • St. Paschal: Saint of the Day for Thursday, February 11, 2016

Daily Readings

Reading 1, Joel 2:12-18
12 'But now -- declares Yahweh- come back to me with all your heart, ... Read More

Psalm, Psalms 51:3-4, 5-6, 12-13, 14, 17
3 For I am well aware of my offences, my sin is constantly in ... Read More

Gospel, Matthew 6:1-6, 16-18
1 'Be careful not to parade your uprightness in public to attract ... Read More

Reading 2, Second Corinthians 5:20--6:2
20 So we are ambassadors for Christ; it is as though God were urging you ... Read More

Saint of the Day

Saint of the Day for February 10th, 2016 Image

St. Scholastica
February 10: St. Scholastica, sister of St. Benedict, ... Read More