Texas DU'ers. Repugs Slipping in a New Tax! Call your

[mourningdove92]

Representative and Senator.

I heard on the radio talk show today that the Repugs are slipping in a new Payroll Tax. It is supposed to be presented to the Ways and Means committee tomorrow and before the rest of the legislature next week. This tax is unconstitutional and a sneaky way to help deplete the ever shrinking job market. Employers will have to pay extra which will just encourage more Employers to leave Texas.

I am sorry that I do not have more information. I heard about this on my way to work, and this is the first opportunity I have had to even come here and post this.

This was on a RW radio show, and they even admitted it was Repugs doing this. I was a wee bit shocked as the show was dedicated to exposing this.

[RareLubbockDem]

1. Here's the article from my local paper

House panel clears new state taxes
http://www.lubbockonline.com/stories/030305/sta_443521.shtml

and yes, it's a stealth tax. I own a small business. This will cost me money, meaning I'll either not hire anyone, or if I do so, I won't be able to pay as much. Nobody seems to notice this is happening. And it's all to offset the budget money lost by the property tax caps, which do nothing for people of lesser incomes who need it most. Are we to assume all the landlords are going to pass these savings on to the renters? Not likely....

Something's gotta be done about this. Let's spread the word on this.

[crispini]

2. How else would you suggest we fund our schools?

This tax doesn't sound that bad to me.

AUSTIN (AP) - Slashed school property taxes would be replaced by a business tax on salaries, a higher and expanded sales tax, and a $1 per pack cigarette tax increase under a proposal approved by a House committee Wednesday.

The tax-writing House Ways and Means Committee is charged with finding other revenue streams that would allow for a one-third reduction in school property taxes. That reduction gives lawmakers a $5.4 billion-per-year hole to plug with other taxes.

...Most of the revenue, about $3.5 billion, would come from a reform of the state's main business tax, which allows five of every six businesses to avoid paying. The new system would tax businesses at 1.1 percent of salaries under $80,000 per employee.

The main business tax allows five out of every six businesses to avoid paying? That's awful.

Now, I'm not for the new SALES tax, which is terribly, terribly regressive, but Texas is already one of the lowest-taxed states in the nation. If we hope to provide for social services, schools and other basics of government sometimes we have to pay for them, and property taxes are VERY high right now.

I personally would favor an INCOME tax, which can be more PROgressive, but that's the proverbial third rail. If I call my representative about anything tax related it would be to encourage them to think about a state income tax.

[silverlib]

3. My understanding is that this

will replace the Franchise Tax on businesses,which has major loophole problems for big business.

I do not think this is an unfair tax. I have a lot bigger problem with the increased sales tax affecting the lower income people.

I'm at work, so don't have a link about the Franchise info.