The legislature isn’t even is session yet, and the talk of implementing a State Income Tax is already beginning to dominate the discussion of how to close the budget shortfall the legislature has spent us into.
The problem as I see it, is even if we eliminate some taxes — like the hated B&O tax for example — as a trade off to institute an income tax, once the economy improves, the legislature can’t be trusted not to spend us right back into the very same position it now finds itself. Once that inevitably happens, they won’t even hesitate to bring those old taxes back. The result will be an even more regressive tax system than we are already saddled with. read more »