The kicker is crazy!! It's based on the state being able to accurately project the amount of revenue they will collect over the next 2 years. A difficult task. They aren't increasing our income tax - we're still paying the same amount.....the economy is just doing well when more is collected than was projected. So instead of being able to save the 'excess' for the inevitable hard times, it is given 'back' to the taxpayer.
However, when the economy takes a down turn and the projection is too high, there is no reciprocity. We don't all of a sudden have to send in MORE money in taxes to help balance the state budget, do we? Services are just cut to the bone. Wouldn't the logic follow that if money is sent back to us when they project too low, that we should sent money to the state when the projection is too high?? Of course not - so the whole thing is illogical and should be thrown out - or at least the reasonable proposal before the legislature currently should be adopted.
The kicker makes no sense at all if you truly understand how it works. We have not been 'over taxed' - the state just underestimated how strong the economy would be 2 years in the future.
posted 4 years, 2 months ago
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