Can we really afford to raise taxes? What will be the impact on our taxpayers – our small businesses- our struggling economy – on jobs? If taxes are raised, can the honestly be called "temporary?"Originally published at THE CENTRIST
These are all great questions and they must be openly discussed, not twisted and spun to try and convince the public that what they know to be poison is really medicine.
Well if we look at history, this legislature hasn't done so well in regard to this principle. In 1991 we were faced with a $1 billion deficit—but instead of cutting back on spending, taxes were raised $3 billion - $ 1 Billion in needed revenue, $2 Billion to “buy” the votes. That $2Billion/yr has resulted in taxpayers losing over $35 Billion dollars. You see raising taxes is VERY expensive.
In fact, this legislature has resorted to raising taxes in every previous recession (1983, 1991, and 2003). Today, we're facing a $3 billion+ deficit from just this current year with the need to address in this budget an equivalent of around $7Billion. Does anyone think we can afford to raise taxes without absolutely destroying our economy and breaking the backs of our taxpayers? So history doesn't look to good. Now is the time to learn from history, consider the negative impact of the previous tax increases and live within available revenues.
Fact 1: Tax Freedom Day, or the day where Americans stop working to pay taxes and start working for themselves, fell on April 13th. Pennsylvanians work a full 103 days, or three and a half months, to pay federal, state and income taxes. During 2009, you and I will pay more in taxes than we spend on food, clothing, and housing combined.
Fact 2: Pennsylvanians in particular shoulder a heavy burden: with the 11th high state and local tax burden in the country, Pennsylvanians pay on average $13,000 PER PERSON (not wage-earner) in taxes. In 2008-2009, our Pennsylvania state and local governments spent $10,000 for every man, woman, and child.
Fact 3: Raising the PIT as the Governor wants to do will destroy jobs: According to the PA State Tax Analysis Modeling Program, or PA-STAMP, a 1% increase in personal income tax would result in a net loss of 47,633 jobs next year.
Tuesday, June 30, 2009
Rep. Rohrer: Pa. residents pay enough taxes
State Rep. Sam Rohrer, R-Berks, made the following comments at a PACT with PA Press Conference in Harrisburg regarding the move by Gov. Rendell and House Democrats to raise taxes for Pennsylvania families and business owners: