Every tax is a pay cut. Every tax cut is a pay raise.
Citizens for Limited Taxation
|Return Tax rate to 5 percent||Tuesday, June 15, 2004|
|Chip Ford, Director of Operations,|
Citizens for Limited Taxation, Peabody
|Metrowest Daily News|
Your editorial "Be prudent with surplus" (June 7) charged: "That loose
change is burning a hole in Romney's pockets. Last week he gave into
the temptation, unveiling a supplemental budget that not only spends the
surplus but endorses an income tax cut that is anything but prudent."
The temptation is failing to learn from history.
In 1989, when the income tax rate was last at its historic five percent, before it was hiked "temporarily" we were promised, the state budget was about $12 billion. Today, 15 years later, with new bookkeeping "off-budget" sleight-of-hand, all three branches have proposed a budget hovering at around $26.5 billion -- more than doubled since the "temporary" tax hike.
As we learned in the late '80s, and should have learned again in the late '90s in the latest cyclical economic downturn, so long as our money is on the Legislature's table excuses to not return it will abound and it will be spent, setting us up all over again for the next "fiscal crisis" and the next round of tax hikes to sustain the overspending.
It's past time to return the tax rate to five percent, as the voters in 2000 mandated at the polls. That debate should have ended with that vote four years ago.
Now is the time. If not now, when?
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