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CLT UPDATE

Wednesday, November 28, 2012

More tax hikes their answer to still more spending


Facing weaker than expected state tax revenues, Governor Deval Patrick’s administration has curbed state hiring, halted an automatic income tax reduction, and begun identifying cuts in spending that may be necessary to balance the budget.

Recent tax collections have been unexpectedly disappointing, failing to measure up to last year’s levels. In October, revenues were $162 million short of budgetary estimates and $48 million below the level reached in October 2011.

State revenues are running $256 million behind budget and $33 million behind last year’s actual collection, officials said. Together the numbers add to the picture of a slow economic recovery and portend a daunting start to the new year for a governor already struggling with a state drug lab crisis and a fatal meningitis outbreak traced to a Massachusetts compounding pharmacy....

Some tax-control advocates suspect that Patrick is preparing to raise taxes in the budget he unveils in the new year.

“They’re going to be looking at a tax increase,” said Barbara Anderson, executive director of Citizens for Limited Taxation. After last week’s report on the gaping deficit in funding for the state’s transportation system, Anderson predicted the Patrick administration would propose boosting not only the gas tax but also the income tax to manage the rest of the budget.

“If there is a deficit, that’s what they’ll look at. It’s the quickest, easiest, fastest money,” she said. “The voters just voted in the same people who would be inclined to raise taxes and against those who had taken pledges not to raise taxes. I won’t be surprised.” ...

Ironically, the state had expected to issue an income tax reduction in January, which would have been triggered automatically by sustained growth. For only the second time in recent years, the state was expected to shave the income tax by .05 percent, but the disappointing tax collections of the fall canceled that plan.

Had the tax cut been implemented, revenues would have dipped by another $57 million. That was one of the concerns [Jay Gonzalez, secretary of the Executive Office for Administration and Finance] reported to the governor last month, when he instituted immediate financial controls to curb state spending. Other uncertainties still remain....

Taxpayers recently weathered a 25 percent rise in the sales tax and new taxes on alcohol; the Patrick administration also gave cities and towns the right to boost meals taxes and local hotel taxes and unsuccessfully called for boosting gas taxes and taxing candy and soda.

The administration intends to release a plan in early January to close the transportation finance gap.

Asked about the possibility of a gas tax increase, Gonzalez said, “There are some people out there arguing that’s what we should do...."

The Boston Globe
Monday, November 26, 2012
Mass. tax revenues decline; budget trims loom
Looks for ways to curb spending; automatic cut in taxes ruled out


Taxpayer advocates yesterday blasted the timing of pay hikes awarded to House and Senate staffers, as the state faces lower-than-expected revenues and put off a scheduled tax cut just weeks after the election.

“It sends the wrong message,” said Jim Stergios of the Pioneer Institute. “When there’s a shortfall of hundreds of millions of dollars, that’s a time when taxpayers find it really hard to swallow this.”

House Speaker Robert A. DeLeo handed out raises of “at least 3 percent” to 460 staffers in the House of Representatives last week. Senate President Therese Murray gave her own staff pay hikes of 3 percent. Gov. Deval Patrick raised no objections to the hikes....

Painful cuts to programs and services may be on the way after October tax revenues came in lower than expected and currently puts the state $256 million below expectations for the year. That also means taxpayers won’t get a scheduled .05 percent income tax cut they otherwise would have enjoyed if revenues had been higher.

“The Legislature shouldn’t be giving their staff pay raises,” said Barbara Anderson of Citizens for Limited Taxation. “They should be dealing with mass deficits that are going to get worse.” ...

Anderson questioned why the hikes came down just weeks after the election, when Democrats beat Republicans in key state and congressional races.

“Now they feel confident spending money on whatever they want,” she said. “Let that be a lesson to the voters. This is only the beginning.”

The Boston Herald
Tuesday, November 27, 2012
Beacon Hill raises blasted
DeLeo, Murray dole out dough


Folks on Beacon Hill are handing out raises in one office while sketching plans for possible budget cuts and a broad-based tax increase in another. Further evidence that the State House crowd really does operate in an alternate universe....

Meanwhile everyone knows Patrick’s team is also preparing a major tax hike proposal — the only question is what form it will take. DeLeo, who has been a stalwart in the face of past tax hike proposals, hasn’t ruled one out.

So this is the moment he chooses to dole out post-election/pre-Christmas gifts?

DeLeo and Senate President Therese Murray might well be asking: If not now, when? Is there ever an optimal time for raising public employee salaries?

Maybe not. But we can think of the worst time to do so, and that would be two weeks after the election, while Beacon Hill is preparing the taxpayers to pay more for their services.

A Boston Herald editorial
Tuesday, November 27, 2012
What are they thinking?


A coalition of groups is recommending a small payroll tax be approved to help pay for chronically underfunded public transit services in Massachusetts.

A report to be discussed with lawmakers at the Statehouse on Tuesday also calls for a more equitable fare structure that would give breaks to low-income riders. The report was prepared by Public Transit-Public Good, a coalition that includes community organizations and labor unions.

Associated Press
Tuesday, November 27, 2012
Groups seek new revenue for public transit


In a report released Tuesday, the groups recommended a menu of potential solutions to the transportation financing question facing lawmakers and Gov. Deval Patrick when the Legislature starts a new two-year session in January, including a new payroll tax on employers that would be applied based on employees earning over $100,000.

The payroll tax proposal is one of the first concrete ideas to be presented in advance of the Patrick administration’s report on transportation financing due to the Legislature in January, and even organizers acknowledge it could be a tough sell on Beacon Hill. Under the proposal, employers would pay to state government a percentage of the salary of workers earning more than the threshold, with the money dedicated to transportation financing. A tax of three-quarters of 1 percent would generate more that $190 million annually, enough to cover annual debt payments for the Big Dig and send $60 million a year to regional transit authorities, according to the report.

State House News Service
Tuesday, November 27, 2012
Coalition calls for transportation payroll tax


All you motorists out there, consider yourselves warned: Gov. Deval Patrick wants to tax you back to the Stone Age.

You can withstand a pay cut, right? Especially when it’s for a good cause — otherwise, how are the hacks at the State House going to be able to continue paying their fellow coatholder Sheila Burgess $87,000 a year for whatever new phony-baloney job they invent for her now that she’s no longer going to be the “state highway safety director.”

This latest Beacon Hill trial balloon on higher taxes was floated the day before Sheila Burgess, of Randolph and the 34 moving violations and assorted citations, became the 2012 poster girl for the hackerama.

In the tax-hike story, the hacks claimed they need at least a billion for the “infrastructure.” The reality is, the infrastructure is Sheila Burgess and her fellow payroll patriots. They’re very needy, and greedy.In the tax-hike story, the hacks claimed they need at least a billion for the “infrastructure.” The reality is, the infrastructure is Sheila Burgess and her fellow payroll patriots. They’re very needy, and greedy.

Which is why the Democrats are whispering yet again about a proposed tax on miles driven. But don’t worry — it’ll “only” cost you .85 cents per mile ... in the first year. In June, the last time they floated this new tax — excuse me, “funding strategy” — the hacks pooh-poohed its impact. Since the average motorist drives 14,800 miles a year, the Beacon Hill taxaholics argued, even after the tax goes up to a penny a mile, it’ll “only” cost you an extra $148 a year.

Chickenfeed, unless of course you were to ask an illegal alien to pay $148 to go to UMass Amherst for a year. Then it would be a hate crime, nativism, xenophobia, etc. etc.

Then there’s the state’s 21-cents-a-gallon gas tax. An increase in the gas tax was voted down in 2009, but now the hacks plan to “revisit” it....

There used to be a TV show called “You Asked for It.” On Nov. 6, we asked for it, and now we’re going to get it, in spades.

The Boston Herald
Wednesday, November 21, 2012
Give Dems an inch, they’ll take a mile ... tax
By Howie Carr


The never-ending saga of Taxachusetts is coming to our wallets soon.

Whether or not there is a need for more revenue, the fundamental problem is that Democrats have a delusional view about our money. They believe what we don’t pay in taxes is an expenditure on behalf of the state.

Hence, it is costing Bacon Hill tax dollars because we keep more of our savings and paychecks.

While normal people think a tax expenditure is paying for the plowing of roads or police protection, for Democrats it is the noncollection of our money....

In Massachusetts you’ll never pay enough taxes, because the Democrats believe it is their money first and you are lucky that they let you keep any.

The Boston Herald
Monday, November 26, 2012
Dems think state loses if you save $$
By Holly Robichaud


State Rep. James Lyons has renewed his fight to prevent state benefits from being paid to illegal immigrants.

Gov. Deval Patrick issued an executive order last week that permits undocumented aliens to pay the same tuition rate at state colleges and universities as legal Massachusetts residents if they have obtained work permits.

Lyons, R-Andover, said he and other Republican legislators have filed a bill that would restrict all state benefits to United States citizens and legal immigrants. Last year, Lyons demanded that the Patrick administration report how much was spent during the fiscal year on health services for illegal immigrants.

In October 2011, the administration gave a figure of $270 million, Lyons said.

“My role is to protect the hard-earned tax dollars of working people,” Lyons said. The governor has been talking about increasing taxes, according to Lyons.

The Eagle-Tribune
Sunday, November 25, 2012
Rep. Lyons seeks to kill state aid for illegal immigrants


Political campaigns are often referred to by politicians as long, grueling and taxing. But when election seasons come to an end, campaign finance accounts sit still until the next election cycle – untaxed.

But now, state Rep. Dan Winslow, R-Norfolk, is hoping to change that. He has drafted a plan that would tax what’s left in elected state and municipal officials’ war chests at 25 percent following each election cycle.

He plans to introduce the legislation in January.

Winslow, who won his House seat in 2010 on the promise of tax cuts, said the Legislature is likely to focus on raising revenues in its next session.

Winslow said politicians should be willing to help raise revenues themselves before suggesting gas- and sales-tax hikes, which he thinks may be on the table next year.

The Patriot Ledger
Tuesday, November 20, 2010
Mass. legislator wants to tax money left in campaign war chests


Chip Ford's CLT Commentary

In the last CLT Update I wrote:

Trying to keep up with the tsunami of ridiculous government waste, corruption, and giveaways is becoming a full-time job of itself and then some.

There's barely enough time in a day to simply collect and collate it, never mind making any sense of it.

Trying to gather it into one place like this, for others like you to begin to comprehend without it becoming overwhelming is well, it's becoming almost impossible.

The onslaught continues, and nobody can make this stuff up!

This Update was intended to go out yesterday afternoon, but the taxpayer abuses and Bacon Hill outrages kept coming in. Keeping up with it all in a timely manner is no longer possible; a new strategy here is necessary, a daily cut-off point.  There is more coming in the morning, so I've ended this here at midnight before I need to make this Update even longer.

Just three weeks have passed since the last election and we taxpayers are being swamped by ridiculous government waste, blatant corruption, unconscionable giveaways and a bevy of tax hikes and new tax proposals to keep Bacon Hill business-as-usual fully-funded. The Good Life to which the Takers have become accustomed is accelerating, ramping up on the backs of society's producers, bankrupting both the state and its taxpayers.  After all, they won the election in a near-sweep and now are claiming the spoils of war.

The state's fiscal stability is too desperate to keep the 23-years old promise and roll back the income tax, by even five-one hundredths of one percent, but it's sound enough to give out pay raises to political friends.

As for yet another tax to fund the MBTA, first a little history:

In 1974 voters approved a constitutional amendment, "Highway tax use for mass transit," which since has allowed highway fees and taxes paid by motorists to be used to fund the MBTA as well.  This has provided us with poor roads, highways and bridges and poor mass transit still in financial distress.

In the CLT Update of June 20 ("Per Mile Travel Tax" — Will you have a voice?), I wrote:

I realize that the MBTA has been skimming large amounts out of those highway funds paid directly by motorists — along with receiving a statutory penny of the five that has been collected from the 5% sales tax since 1999.

The sales tax was subsequently hiked to 6.25% a decade later, at least in part to make up for the revenue shifted to the MBTA and school building assistance program, both of which come directly out of the sales tax. (Both the MBTA and the Massachusetts School Building Assistance Authority [MSBA] each has received 20 percent of 5% sales tax collections, leaving only 60% of sales tax revenue for other uses — thus the need for the 2009 sales tax increase.)

Still that is not enough. What that greatly increased cost has bought us is still poor roads, highways, and bridges and poor mass transit still in financial distress, and Bacon Hill still looking for more from taxpayers and motorists.

Michael Graham (WTKK FM-96.9 and Boston Herald columnist) wrote in his blog today (MA Unions, Liberal Activists Push New Payroll Tax On “The Rich,” a.k.a. “YOU.”):

The rich now means “workers earning more than $100,000.” Whether you ever ride the T or drive through the Big Dig—it doesn’t matter. The plan is for you to pay.

Hey, you’ve got plenty of money! Why, living in Massachusetts on $100,000—particularly for a young, recent college grad with student loans and a new mortgage—means living like a king!

So get ready to pay up, Richie Rich—There’s an MBTA union hack who needs your money!

Michael had Barbara on his radio program yesterday afternoon as a guest to discuss this latest money grab. One guarantee she made was that if this new tax is imposed nothing will change, again. The Bacon Hill pols need perpetually degraded roads and highways, collapsing bridges, and a dysfunctional transit system so they can always extort more money from taxpayers and motorists in the future.

Boston Herald columnist and Republican consultant Holly Robichaud earlier on his program noted that the MBTA now has over 600 employees who make over $100,000 in annual salaries.

With more money extracted from us they can hire even more cronies, coat-holders, and political allies at high salaries just as they've done all along with more, more, ever more while the transportation system continues to deteriorate.

We're not sure this latest idea would even pass state constitutional muster. Our state constitution allows for only a flat income tax, though the tax-borrow-and-spend crowd has tried on many occasions over the decades to amend that with a graduated income tax. CLT was founded in 1974 to defeat it on the 1976 ballot; CLT defeated it again when it was on the 1994 ballot. We're investigating this situation.

The only good news I've dug up in the past few days is the fighting spirit of just re-elected state Reps. Jim Lyon (R-Andover) and Marc Lombardo (R-Billerica) both still battling for the taxpayers against Gov. Deval Patrick's giveaways to illegal aliens, and joining with Rep. Shauna O'Connell to keep the pressure on even more EBT Card reform.

Another positive idea was introduced by state Rep. Dan Winslow (R-Norfolk) "that would tax what’s left in elected state and municipal officials’ war chests at 25 percent following each election cycle."

I haven't come across any novel ideas benefitting taxpayers coming from any Democrat in the Legislature yet. I'll let you know if I ever do.

Taxpayers have got a busy year ahead if we're to survive.

Chip Ford

 

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The Boston Globe
Monday, November 26, 2012

Mass. tax revenues decline; budget trims loom
Looks for ways to curb spending; automatic cut in taxes ruled out
By Stephanie Ebbert


Facing weaker than expected state tax revenues, Governor Deval Patrick’s administration has curbed state hiring, halted an automatic income tax reduction, and begun identifying cuts in spending that may be necessary to balance the budget.

Recent tax collections have been unexpectedly disappointing, failing to measure up to last year’s levels. In October, revenues were $162 million short of budgetary estimates and $48 million below the level reached in October 2011.

State revenues are running $256 million behind budget and $33 million behind last year’s actual collection, officials said. Together the numbers add to the picture of a slow economic recovery and portend a daunting start to the new year for a governor already struggling with a state drug lab crisis and a fatal meningitis outbreak traced to a Massachusetts compounding pharmacy.

The news is consistent with reports showing that the recovery, which had been on its way in Massachusetts, is slowing down. In recent months, the Massachusetts unemployment rate has climbed slightly and the state’s economic growth, which had been outpacing the nation, fell behind.

The dropoff in tax revenues is not dramatic, compared to the recent recession, but it is a disheartening trend in the wrong direction. After years of belt-tightening, fiscal observers were hoping to have more room to breathe in the coming year’s budget and to begin restoring some of the spending cuts that had been made to programs. Now they see no relief in sight.

“If this were happening at the beginning of a recession, it would be seen as . . . not a dramatic shortfall,” said Michael Widmer, president of the Massachusetts Taxpayers Foundation. “But when it comes in year five of this extended fiscal crisis, it’s a serious issue.”

As a result, Patrick’s budget chief has imposed constraints on discretionary spending and asked agency heads to start identifying spending cuts.

“I think there’s a strong likelihood that we will very soon be revising the budget estimates downward and make some budgetary reductions,” said Jay Gonzalez, secretary of the Executive Office for Administration and Finance.

“We’re in a position to act quickly,” if cuts become necessary, said Gonzalez, noting that his office is analyzing potential cuts and developing recommendations. He also contacted non-executive agencies, such as the judiciary, to ask them to identify spending reductions.

Some tax-control advocates suspect that Patrick is preparing to raise taxes in the budget he unveils in the new year.

“They’re going to be looking at a tax increase,” said Barbara Anderson, executive director of Citizens for Limited Taxation. After last week’s report on the gaping deficit in funding for the state’s transportation system, Anderson predicted the Patrick administration would propose boosting not only the gas tax but also the income tax to manage the rest of the budget.

“If there is a deficit, that’s what they’ll look at. It’s the quickest, easiest, fastest money,” she said. “The voters just voted in the same people who would be inclined to raise taxes and against those who had taken pledges not to raise taxes. I won’t be surprised.”

Ironically, the state had expected to issue an income tax reduction in January, which would have been triggered automatically by sustained growth. For only the second time in recent years, the state was expected to shave the income tax by .05 percent, but the disappointing tax collections of the fall canceled that plan.

Had the tax cut been implemented, revenues would have dipped by another $57 million. That was one of the concerns Gonzalez reported to the governor last month, when he instituted immediate financial controls to curb state spending.
Other uncertainties still remain.

The so-called “fiscal cliff” — the spending cuts and tax increases that would kick in if the president and Congress fail to reach consensus on federal debt reduction — threatens to send the nation into another recession and Massachusetts into a deeper problem.

If the federal standoff is not resolved, Massachusetts is estimated to lose another $300 million in tax revenue this year and $1 billion next year, as well as $200 million in direct federal funding, Gonzalez said.

The spending cuts that would take effect in the new year would also disproportionately hurt Massachusetts, since some of the state’s top industries rely on funding from the federal government. Defense dollars in Massachusetts would drop $1.2 billion andNational Institutes of Health funding would drop almost $200 million, Gonzalez said.

The state has some cushion, because it has built up its so-called rainy day fund, to $1.65 billion, the third highest in the country, Gonzalez said. Budget officials will not rely on that fund to sustain much of the budget, but could tap it for some relief, he said.

Initial revenue numbers for November suggest a somewhat brighter outlook. The numbers for the first half of the month were up 6.3 percent over the same period a year earlier. But Gonzalez cautioned that midmonth results can be deceiving.

Taxpayers recently weathered a 25 percent rise in the sales tax and new taxes on alcohol; the Patrick administration also gave cities and towns the right to boost meals taxes and local hotel taxes and unsuccessfully called for boosting gas taxes and taxing candy and soda.

The administration intends to release a plan in early January to close the transportation finance gap.

Asked about the possibility of a gas tax increase, Gonzalez said, “There are some people out there arguing that’s what we should do. The governor proposed that a few years ago. And that didn’t go very well.”

Gonzalez said it would be “premature” to conclude that the administration would seek additional broad-based tax increases.

“We’re in the middle of budgetary planning process for fiscal year. Certainly the slowdown in economic growth is projected to last for a while, so we need to take that into account in developing a revenue estimate for the next fiscal year, and there’s no doubt we’ll have challenges for the next fiscal year.”


The Boston Herald
Tuesday, November 27, 2012

Beacon Hill raises blasted
DeLeo, Murray dole out dough
By Chris Cassidy


Taxpayer advocates yesterday blasted the timing of pay hikes awarded to House and Senate staffers, as the state faces lower-than-expected revenues and put off a scheduled tax cut just weeks after the election.

“It sends the wrong message,” said Jim Stergios of the Pioneer Institute. “When there’s a shortfall of hundreds of millions of dollars, that’s a time when taxpayers find it really hard to swallow this.”

House Speaker Robert A. DeLeo handed out raises of “at least 3 percent” to 460 staffers in the House of Representatives last week. Senate President Therese Murray gave her own staff pay hikes of 3 percent. Gov. Deval Patrick raised no objections to the hikes.

“The Senate and House have to manage their budgets just as I have to manage mine,” Patrick said. “So as long as they manage within that budget, that’s up to them.”

Painful cuts to programs and services may be on the way after October tax revenues came in lower than expected and currently puts the state $256 million below expectations for the year. That also means taxpayers won’t get a scheduled .05 percent income tax cut they otherwise would have enjoyed if revenues had been higher.

“The Legislature shouldn’t be giving their staff pay raises,” said Barbara Anderson of Citizens for Limited Taxation. “They should be dealing with mass deficits that are going to get worse.”

DeLeo was unavailable for comment yesterday, but spokesman Seth Gitell said most House staffers make between $34,000 and $42,000 and that the pay hikes amount to a total of $764,000 or 2.16 percent of the House budget. The House payroll will be almost 10 percent less than it was in February 2009, he said.

“They felt that after four-plus years with no increase, the House, due to sound fiscal management, could provide this cost of living adjustment,” Gitell said. No additional funds are needed to cover the pay hikes, he said, because House members made a variety of cuts during the years, including trimming staff, taking furloughs and axing cleaning and paper expenses — plus, taxpayers no longer fund the cost of staffers’ Massachusetts Bar membership. For both House staffers and Murray’s aides, Gitell and Murray said, it’s their first pay hike in four years.

Murray told the Herald her staffers have made sacrifices and deserve the raises, which she said came after favorable performance reviews in the fall.

“It all comes out of one place and that’s taxpayers,” countered Stergios.

Anderson questioned why the hikes came down just weeks after the election, when Democrats beat Republicans in key state and congressional races.

“Now they feel confident spending money on whatever they want,” she said. “Let that be a lesson to the voters. This is only the beginning.”


The Boston Herald
Tuesday, November 27, 2012

A Boston Herald editorial
What are they thinking?


Folks on Beacon Hill are handing out raises in one office while sketching plans for possible budget cuts and a broad-based tax increase in another. Further evidence that the State House crowd really does operate in an alternate universe.

House Speaker Robert DeLeo last week gave out 3 percent raises to all 460 (non-elected) employees of the House, while some Senate employees are getting raises, too. And under normal circumstances we would have little objection to cost-of-living increases for employees who have gone several years without one — in the case of the House, since 2008. A spokesman for DeLeo said the raises can be absorbed in the current budget, and that overall House payroll today is 10 percent lower than it was in 2009.

Still, these can’t really be considered “normal circumstances,” can they?

For starters, the current budget may soon be torn up.

State tax revenues are trailing projections (and how reliable those projections were is an issue well worth exploring) as well as trailing last year’s actual collections. Gov. Deval Patrick’s budget team is preparing mid-year budget cuts in executive branch agencies and calling on the other branches to do the same.

Meanwhile everyone knows Patrick’s team is also preparing a major tax hike proposal — the only question is what form it will take. DeLeo, who has been a stalwart in the face of past tax hike proposals, hasn’t ruled one out.

So this is the moment he chooses to dole out post-election/pre-Christmas gifts?

DeLeo and Senate President Therese Murray might well be asking: If not now, when? Is there ever an optimal time for raising public employee salaries?

Maybe not. But we can think of the worst time to do so, and that would be two weeks after the election, while Beacon Hill is preparing the taxpayers to pay more for their services.


Associated Press
Tuesday, November 27, 2012

Groups seek new revenue for public transit


BOSTON — A coalition of groups is recommending a small payroll tax be approved to help pay for chronically underfunded public transit services in Massachusetts.

A report to be discussed with lawmakers at the Statehouse on Tuesday also calls for a more equitable fare structure that would give breaks to low-income riders. The report was prepared by Public Transit-Public Good, a coalition that includes community organizations and labor unions.

The groups suggest a 0.75 payroll tax on workers earning more than $100,000, with the revenue dedicated to paying off debt from the Big Dig and helping fund the MBTA and other regional transit systems.

The Legislature is expected to consider possible new sources of revenue to finance the state’s transportation system when it begins the next two-year in January.


State House News Service
Tuesday, November 27, 2012

State Capitol Briefs – Lunch Edition
Coalition calls for transportation payroll tax
By Matt Murphy


A payroll tax increase on upper-income earners in Massachusetts would produce revenues to cover part of a yawning budget gap between available funds and resources needed to maintain the state’s infrastructure and avoid large fare hikes, according to unions and advocates for the state’s seniors, students and disabled transit riders.

In a report released Tuesday, the groups recommended a menu of potential solutions to the transportation financing question facing lawmakers and Gov. Deval Patrick when the Legislature starts a new two-year session in January, including a new payroll tax on employers that would be applied based on employees earning over $100,000.

The payroll tax proposal is one of the first concrete ideas to be presented in advance of the Patrick administration’s report on transportation financing due to the Legislature in January, and even organizers acknowledge it could be a tough sell on Beacon Hill. Under the proposal, employers would pay to state government a percentage of the salary of workers earning more than the threshold, with the money dedicated to transportation financing. A tax of three-quarters of 1 percent would generate more that $190 million annually, enough to cover annual debt payments for the Big Dig and send $60 million a year to regional transit authorities, according to the report.

“We look forward to working together to enact a package of legislative, budgetary, and policy changes to our transit system that will fix it, fund it, and make it fair,” the report’s authors wrote.

The income threshold, according to proponents, would shield lower-income workers from additional income taxes while also guaranteeing that the state’s largest employers shoulder most of the burden, including major financial and professional service firms, biotech, and pharmaceutical companies.

“The payroll tax on upper-income workers is designed to bring equity to a system funded almost entirely by middle- and lower- income riders,” said Richard Rogers, chair of Community Labor United and executive secretary and treasurer of the Greater Boston Labor Council.

Other regions with aging infrastructure and public transit systems have turned to payroll taxes to support transportation, including New York City where since 2009 the Metropolitan Transportation Authority has collected a dedicated 0.34 percent payroll tax from employers in the 12 surrounding counties. Oregon also taxes employers in two major “transit districts” around the cities of Portland and Eugene.


The Boston Herald
Wednesday, November 21, 2012

Give Dems an inch, they’ll take a mile ... tax
By Howie Carr


All you motorists out there, consider yourselves warned: Gov. Deval Patrick wants to tax you back to the Stone Age.

You can withstand a pay cut, right? Especially when it’s for a good cause — otherwise, how are the hacks at the State House going to be able to continue paying their fellow coatholder Sheila Burgess $87,000 a year for whatever new phony-baloney job they invent for her now that she’s no longer going to be the “state highway safety director.”

This latest Beacon Hill trial balloon on higher taxes was floated the day before Sheila Burgess, of Randolph and the 34 moving violations and assorted citations, became the 2012 poster girl for the hackerama.

In the tax-hike story, the hacks claimed they need at least a billion for the “infrastructure.” The reality is, the infrastructure is Sheila Burgess and her fellow payroll patriots. They’re very needy, and greedy.

Which is why the Democrats are whispering yet again about a proposed tax on miles driven. But don’t worry — it’ll “only” cost you .85 cents per mile ... in the first year. In June, the last time they floated this new tax — excuse me, “funding strategy” — the hacks pooh-poohed its impact. Since the average motorist drives 14,800 miles a year, the Beacon Hill taxaholics argued, even after the tax goes up to a penny a mile, it’ll “only” cost you an extra $148 a year.

Chickenfeed, unless of course you were to ask an illegal alien to pay $148 to go to UMass Amherst for a year. Then it would be a hate crime, nativism, xenophobia, etc. etc.

Then there’s the state’s 21-cents-a-gallon gas tax. An increase in the gas tax was voted down in 2009, but now the hacks plan to “revisit” it.

That’s a great word, revisit. The hacks never lose anything permanently, they just “revisit” it later. But once they get what they want — such as, say, gay marriage — then the other side can never revisit the issue. Because once the moonbats win, it becomes “settled law” and/or a “constitutional right.”

By the way, the hacks never raise taxes either. They “adjust” them — upward. Maybe this time they can promise us that it will be a “temporary” increase in the gas tax, or the tolls. In hackspeak, the definition of “temporary” is “permanent.”

But the money is needed. You can’t expect Sheila Burgess to actually work for a living, now can you? This is a woman so ethical she once gave $500 to the disgraced ex-House speaker Felon Finneran, who after being convicted of obstructing justice went on to host what was perhaps the worst talk show in radio history.

Despite her commitment to so-called public service, Sheila Burgess hadn’t paid her automobile excise tax until a newspaper began nosing around earlier this month. Same thing with Granny Warren, the fake Indian. She was in arrears to the City of Cambridge until I called her campaign on it. And we all remember Liveshot Kerry trying to beat the state and the Town of Nantucket for more than $500,000 on the $7 million yacht his second wife’s first husband’s trust fund bought for him.

What is it with these liberals and taxes — I mean enhanced revenues? They seem to think taxes are mandatory for us, but optional for them.

There used to be a TV show called “You Asked for It.” On Nov. 6, we asked for it, and now we’re going to get it, in spades.


The Boston Herald
Monday, November 26, 2012

Dems think state loses if you save $$
By Holly Robichaud


The never-ending saga of Taxachusetts is coming to our wallets soon.

Whether or not there is a need for more revenue, the fundamental problem is that Democrats have a delusional view about our money. They believe what we don’t pay in taxes is an expenditure on behalf of the state.

Hence, it is costing Bacon Hill tax dollars because we keep more of our savings and paychecks.

While normal people think a tax expenditure is paying for the plowing of roads or police protection, for Democrats it is the noncollection of our money.

The Massachusetts Department of Revenue estimates $27 billion in uncollected taxes or loopholes. That’s the amount the state presently amasses in tax revenue annually, which means a doubling in taxes.

As you may have guessed, their idea of plugging loopholes means new taxes for us. The biggest loophole is the tax exemption on food and clothing, which, if plugged, would generate $17 billion.

Bacon Hill would never tax food and clothing, right? Unfortunately, there is every reason to believe that it could happen.

Gov. Deval Patrick has floated the idea of a sugar tax, and his administration has been working to increase fees on vending machines by 567 percent.

Once Bacon Hill gets the sugar tax, it is only a matter of time before there is the salt tax. Why exempt potato chips? And then it will move on down the line to all foods.

Bacon Hill feels no sympathy for the taxpayers.

Before the holiday, the governor “revisited” his idea on a mileage tax, as if we don’t already pay enough to drive with gas at $4 per gallon.

Think about this on Cyber Monday. Last week, State Treasurer Steve Grossman sent a letter to Washington, D.C., to encourage allowing states to implement an Internet sales tax.

According to State House News Service, Grossman wrote that our local stores are at a competitive disadvantage. “... it is a matter of fairness and equity to Main Street businesses. Local retailers and other merchants should not have to compete with online sales giants that do not have to collect state and local sales taxes.”

While he writes good spin, this is not a simple fairness issue. It is about taking more of your money.

If the treasurer were truly interested in leveling the playing field, then he would suggest lowering the sales tax across the board to offset the new revenue collected online.

In Massachusetts you’ll never pay enough taxes, because the Democrats believe it is their money first and you are lucky that they let you keep any.


The Eagle-Tribune
Sunday, November 25, 2012

Rep. Lyons seeks to kill state aid for illegal immigrants
By Paul Tennant


ANDOVER — State Rep. James Lyons has renewed his fight to prevent state benefits from being paid to illegal immigrants.

Gov. Deval Patrick issued an executive order last week that permits undocumented aliens to pay the same tuition rate at state colleges and universities as legal Massachusetts residents if they have obtained work permits.

Lyons, R-Andover, said he and other Republican legislators have filed a bill that would restrict all state benefits to United States citizens and legal immigrants. Last year, Lyons demanded that the Patrick administration report how much was spent during the fiscal year on health services for illegal immigrants.

In October 2011, the administration gave a figure of $270 million, Lyons said.

“My role is to protect the hard-earned tax dollars of working people,” Lyons said. The governor has been talking about increasing taxes, according to Lyons.

“We need other solutions besides taxes and providing services to illegal immigrants,” he said. His proposal has support from Republican colleagues but so far, no Democratic legislators have approached him about backing the measure, he said.

Yet he’s received more than 100 emails from people who object to illegal immigrants receiving state benefits, he said. The response, he said, has been “really incredible.”

Lyons, re-elected to his second term as representative from the 17th Essex District on Nov. 6, said “it’s insanity” that Patrick wants to give illegal aliens benefits while presiding over reductions in aid to cities and towns.

President Barack Obama issued an executive order that allows illegal immigrants who came to the United States before reaching age 16 and who don’t have criminal records to obtain work permits. They must also pay a $465 fee.

Both Obama and Patrick have pointed out that those who came here illegally at a young age were most likely brought by their parents, so their presence in America is “not their fault.”

State Rep.-elect Diana DiZoglio, D-Methuen, whose 14th Essex District abuts Lyons’ territory, did not commit herself to a position when asked what she thinks of Lyons’ bill. She hasn’t had a chance to study the legislation, she said.


The Patriot Ledger
Tuesday, November 20, 2010

Mass. legislator wants to tax money left in campaign war chests
By Adam Vaccaro


Political campaigns are often referred to by politicians as long, grueling and taxing. But when election seasons come to an end, campaign finance accounts sit still until the next election cycle – untaxed.

But now, state Rep. Dan Winslow, R-Norfolk, is hoping to change that. He has drafted a plan that would tax what’s left in elected state and municipal officials’ war chests at 25 percent following each election cycle.

He plans to introduce the legislation in January.

Winslow, who won his House seat in 2010 on the promise of tax cuts, said the Legislature is likely to focus on raising revenues in its next session.

Winslow said politicians should be willing to help raise revenues themselves before suggesting gas- and sales-tax hikes, which he thinks may be on the table next year.

The tax would be imposed at the end of a given candidate’s election cycle – in odd-numbered years for most municipal candidates and even-numbered years for state officials.

Winslow offered a rough estimate that such a tax could raise $5 million every two years, with an additional spike every four years from races for governor. That amount is hardly enough to make a significant dent in the state’s budget.

But, Winslow said, such a tax would help establish the Legislature’s legitimacy should lawmakers seek to raise taxes elsewhere. It would show that legislators were imposing the same standards on their own funds as on taxpayers’ funds, he said.

Winslow added that the tax would help shrink incumbents’ war chests, possibly encouraging people intimidated by those funds to run for elected office.

Winslow said he would expect resistance from his colleagues on Beacon Hill.

At a recent forum, Massachusetts Democratic Party Chairman John Walsh of Abington said he would support the idea with some provisions, Winslow said. Walsh and the party did not provide comments upon request.

 

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Citizens for Limited Taxation    PO Box 1147    Marblehead, MA 01945    508-915-3665