According to the Wall Street Journal, August 11, 2009, the State of Arizona is about to lead the nation in getting out from under years of over spending by it’s legislature.
According to the article, Republican Governor Jan Brewer has put forth a plan that will decrease state’s corporate income tax by nearly 30%, the personal income tax by 6.6% and eliminates entirely a statewide tax on commercial and residential property.
While Connecticut does not have a state wide tax on property, it does have a local tax that is the foundation of municipal revenue.
In place of these taxes Governor Brewer has proposed a temporary increase in the sales tax from 5.6% to 6.6% for 2010 and 2011, then falling to 6.1% in 2012, and in 2013 reverts back to it’s 5.5% rate.
According sources used by the WSJ, “most economic studies agree that states have higher jobs and higher income growth when they tax consumption rather than savings, investments, and business profits”.
These seems to be a good lesson for the Connecticut Legislature which is Democratically controlled and facing over $8 billion dollars in a two year budget gap..
Wake up Connecticut before we end up like New York, California and Arizona before Governor Brewer’s brave new initiatives.
2nd Vice Chairman,
1St Congressional District
Copyright 2009. All rights reserved.
Contact Steve Collins at email@example.com