Rise in Sales Tax
I know this is a little delayed, but it is something that I have been upset about for quite some time.
Nope, this is no April fools joke. Our wonderful state of California decided to raise sales tax here in our great state. The decision was made by our elected officials to raise the sales tax 1 percent across the state. Not bad right? only an extra penny per dollar, or an extra dollar per 100 or 10 per 1000. So if I were to purchase a new car next week for $30K instead of paying $2175 in tax I will get to pay $2625.
I don’t know about your book, but in this recession that we are in I'm pretty sure that $450 is quite a bit to me. Not to mention that the state also added an extra .25% on to your personal income tax. But please don't stop reading yet, your registration fees will also be going from ".65% to 1.15% of the value of the vehicle"(California DMV).
So, Other than this meaning that you will:
1. Pay more for every non-grocery item you buy
2. Raise your personal income tax (doesn’t the state still owe us money from last year?)
3. Almost double your registration fees,
you will also be a part of a deepened recession due to our states horrible decision making efforts.
You ask, "How would this deepen our economic recession?"
Lucky for you, I know this answer (I learn't it in Scool).
1. By increasing sales tax, you increase the cost of every item in stores and you run the risk of people slowing their purchasing. Which if this raise in taxes reduces sales by just 1.1% the state will be loosing even more money and also causing more businesses to loose sales thus deepening the recession.
2. By increasing personal income tax, spending by consumers will decrease and cause a furthering of this recession.
3. Doubling registration fees, well, the same thing happens. Less money for the consumer to spend, thus furthering the recession.
But you say to me, "Zach, do you really expect me to believe that YOU, not even a college graduate could catch something like this and the state of California could not?"
But my reply to you is this, "oh, they caught it, They just don’t give a shit."
"I don't think there's any doubt it will aggravate the recession further, but given the state of California, there just wasn't any choice,"- Gino Dicaro
"Given the state of California"???? what is that supposed to mean? With the seventh largest economy and already one of the highest sales tax rates in the US we are not pulling in enough revenue? Bullshit! We don’t need to increase taxes; we need to fix the inefficient system. Just like we need to let inefficient businesses fail so that self-sustaining ones can take their place, we need to get a new system in place here in California!
So, help me out and do us all a favor and write Sam Aanestad, your elected official who is supposed to be representing you and find out what he is doing to help get us out of this recession.
Sam Aanestad
State Capitol, Room 3063
Sacramento, CA 95814
Go now, what are you waiting for?
http://www.dmv.ca.gov/pubs/newsrel/newsrel09/2009-12.htm
http://www.google.com/hostednews/ap/article/ALeqM5hhQvjHcsAkJugUGfTWWrlR6daGTwD979CA500
http://gotplates.wordpress.com/2009/03/04/california-dmv-announces-vehicle-registration-fee-increase/
5 comments:
alrighty. this was kind of depressing. yet informative... damn californians. we should all move to oregon where there isn't sales tax.
A raise in sale's taxes and stil millions of dollars cut from education & public services. Yet none of our elected offical will be taking a decrease in pay or benifits that they recieve. This is just greed at it's best.
Did you know that Governor Arnie chooses to not receive his income from being governor?
As Communications Director for Senator Sam Aanestad (R-Grass Valley), I can assure you that your North State Senator did not vote for one single tax increase that came his way during budget negotiations last February. He rejected the sales tax, car tax and income tax proposals. Senator Aanestad is a fiscally conservative Republican who has never once voted for a tax hike, period.
Unfortunately, the State Legislature is controlled by Democrats. They were able to garner the votes needed to pass these tax hikes out. I assure you that Senator Aanestad was not one of those votes, and led Senate Republican opposition against them.
I fear we as a nation are reaping the consequences of irresponsibility, selfishness, greed, materialism, preference of ease over hard work, and uncommon sense. I guess the answer is to do the opposite of that.
Post a Comment