Taxes everything but the air

The fear mongers are at it again. They are once again trying to convince us that a "yes" vote on Question 1 raises taxes. The only people raising taxes are members of the Maine Legislature.

Question 1 repeals the law passed by the Legislature that rewards the rich and hurts lower income Mainers. Aren’t the Democrats supposed to be the party of the common man?

The new tax law expands the sales tax to include everything but air, and they would tax that if they could. If Question 1 fails, expect to pay sales tax when you go to a movie, get a haircut and on labor charges for just about any service you have performed. If you have the oil changed in your car you will not only pay the $5 state fee that was recently passed, you will pay an additional sales tax on the labor.

Their new tax scheme also raises the meals tax for an industry that is already reeling from the current economy.

When has the Maine Legislature ever cut taxes? Elected officials are trying to convince people that their new tax law cuts taxes. It only cuts the income tax rate for the highest income earners.

The sales tax already charges tax on more items than the Massachusetts (Taxachusetts?) sales tax. Maine already charges sales tax on clothing and many food items that Massachusetts doesn’t.

On June 8, I will say no to more taxes and vote yes on Question 1.

Alan Osborn, Hartford

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Comments

RONALD RIML's picture

Maine and New Hampshire not far off...

Here's an interesting read - http://money.cnn.com/2009/04/10/pf/taxes/state_tax_rates/index.htm

It points out that in Maine, state and local taxes figure out to $3,835/per capita.

And New Hampshire?? It's $3,642/per capita. That about a half of a percentage point difference.

Now that's pretty damn close. For not having an income nor a sales tax, they certainly manage to get their hand into your pocket damn near as well as Maine does.

RONALD RIML's picture

Lying again Rob - or you don't have a clue...

"Property tax rates" only slightly higher in New Hampshire than in Maine......

But that doesn't really tell the story. How about Property Taxes collected Per Capita - a truer indication.

According to the Tax Foundation (FY 2007), New Hampshire ranked 4th highest state in the nation at $2,222 per/capita of property tax collected. - http://www.taxfoundation.org/taxdata/show/251.html

And Maine? We're still high - 10th in the nation at $1,565 per/capita.

That's a $657 difference per person; for a family of four - $2,628. Do you think that family pays that much in Maine sales and income tax???

RONALD RIML's picture

Fatherly Care and Filial Responsibility

Rob says that his family is worse off living in Maine (and God knows that Lewiston isn't the Jewel in the Crown of the Pine Tree State)

Now why would a responsible and loving Father continue to subject his family to such awful conditions??

Scott Pare's picture

Welfare help?

I keep reading posts from "hard working conservatives" (because apparently ALL liberals sit at home and collect welfare checks) complaining that this tax proposal is somehow meant to help out the poor welfare people even more and screw working people. How is a 2% reduction in income tax hurting the working class. I will vote yes on question 1 to get 2% more in my paycheck every week. If I am really concerned with the sales tax increases, I will watch my purchases more closely. I figure I will have to make ALOT of purchases to catch up to the 2% extra in my paycheck.

Scott Pare's picture

vote no - yes...

Thanks tron, my bad, I meant I will vote no in my post...

Mark Wrenn's picture

up is down

When you shift $55 million in income tax on Mainers to sales tax on out of staters, that's just about the biggest tax increase ever!

JONATHAN ALBRECHT's picture

NH

"oh wait NH has the same population and NO sales tax and no income tax...go figure" but huge proverty taxes. You can't figure if you are comparing apples to oranges. Maine 35,385 sq. miles in size. NH 9,350. The means more roads, longer school bus rides, more police patrols, more maintenance etc. NH has 146 people/ sq. mile. Maine 43. You can deliver service much more easily in NH.
Maine has 485 municialities; NH 235 that means more governments, more duplication of services. Our biggest town has a population of 64,247; NH has two towns consideraby bigger at 87K and 109K. NH has been a bedroom suburb of Boston for decades. Maine has only recently started to become that. And those are just the beginning of the differences.

JONATHAN ALBRECHT's picture

Maine isn't 15th anymore.

Maine was 15th before the recession. That was before 35 states raised general taxes and Maine cut their. That also includes taxes paid in Alaska by Alaskan companies under Alaska's laws that are pro-rated to states based on the use of oil. Given Maine's heavy use of heating oil this misreprsents Maine's tax laws. We in fact are in the high 20's headed for 35th.

JONATHAN ALBRECHT's picture

unfounded bias

Hardly. You will notice I dated that to the 1990's. The NYT counted the violations of federal regulations and laws for a period of one year and the results. If memory serves me and at this age it sometimes doesn't, a few dozen fortune 500 companies had no violations.

RONALD RIML's picture

It's a Good Thing

You have two sets of lips, Barb.

All you ever do is piss and moan, piss and moan.

Mark Wrenn's picture

slight miscalculation?

I don't think it was a slight miscalculation, it was a deliberate misrepresentation of the truth.

RONALD RIML's picture

I've talked to the "Figurers"

A good friend of my wife married a widower who resided in Massachusetts. He's a retired engineer, watches his financials very closely, and is a good conservative.

They love skiing, so decided to take advantage of the tax climate in NH and moved about five years ago. He tells me that they may not reach into his sales and income pockets, but do hit him with any number of other taxes, fees, etc to the point where he does not feel any great advantage.

Mark Wrenn's picture

difference

V says average, you say median. There is a difference, go figure!

RONALD RIML's picture

State and Local Tax Burdens

According to a survey by "Retirement Living" -State and Local Tax Burdens - Fiscal Year 2008 -

The U.S. Average State/Local tax burden in FY-2008 was 9.7% Maine's Tax Burden was 10.0%

We're not a whole helluva lot out of the ballpark here at a .3% variance.....

RONALD RIML's picture

the 'liberals' who pay no taxes??

They buy no gasoline? No tobacco, no tires, nothing with an excise tax? No sales tax?

What freaking planet are you living on???

But thanks to tax law, there were a few years where Microsoft (and many other behemoths) paid no Corporate taxes - remember that, Rob....

http://moneycentral.msn.com/content/Taxes/P80242.asp

"Think about this as you sign that check to Uncle Sam next week: More than 60% of all U.S. companies paid no federal tax at all during the boom years of 1996 to 2000, the General Accounting Office reports.

In 2000 alone, 94% of all U.S. corporations paid less than 5% of their total income in corporate taxes, the GAO said in a report released Friday. Among the largest corporations -- the 1% of all corporations that owns 93% of all corporate assets -- 82% paid less than 5% of their income in taxes.

And it wasnt just American companies avoiding a bill. About 70% of foreign-owned companies doing business in the United States paid no federal tax in the late 1990s, the GAO said. The GAO report covered 2.1 million returns by U.S. companies and 69,000 foreign-owned companies"

RONALD RIML's picture

Congratulations, Second Grader!!!

Rob finds he must now resort to name calling and rather than valid arguments

Don't like taxes? Go live the hermit's life in the sand dunes of Bum-Fuque, Sudan.

Mark Wrenn's picture

can't read, either

Second grade is a little too generous. Where exactly did you make his point that taxes were going up?

RONALD RIML's picture

And Rob claims to have 'Accounting' expertise??

Lies will get you nowhere, Robert.

You're getting more desperate by the day, Lad. I was describing the taxes paid by many of your former constituents - and - U.S. Corporations.

I, on the other hand - do pay file and pay Fed and State income taxes.

JONATHAN ALBRECHT's picture

CEO's

Govenor King ran business forums in Maine. He brought in experts on locating sites for New or expanding companies. They only pointed to the maximum state income tax rate as a problem in attracting companies. Maine's Tax Cut Bill addresses that problem by reducing the maximum rate while all across the country states are increasing their maximum rate.

JONATHAN ALBRECHT's picture

What BS

What happenned when the state of Maine took over 55% of the costs of education?2/3rds of Maine's municipalities cut their property taxes.

Thinkingman, I'm talking about policy not a few isolated examples. in the 1990's virtually all US fortune 500 companies cheated on their taxes, most broke federal law, most agreed to consent decrees to get off the hook. I've worked for 5 companies in my working life. 2 broke the law. One cheated the IRS and one de-frauded a company buying them. Both were intentional. The most corrupt segment of our population are business owners.

You guys just repeat your unfounded bias and self-deluded opinoins. But I don't expect you to research for the facts. That would be too much to ask.

JONATHAN ALBRECHT's picture

by the way

that's can't face facts.

JONATHAN ALBRECHT's picture

Encouraging Tax cheats

Isn't it a shame that thinkingman and the Republicans encourage tax cheats. While you and I pay our fair share of taxes and support our government and country these folks are flying off to the cayman inslands to hide their income. Then they come home and boast about what great patriots they are.  

JONATHAN ALBRECHT's picture

Again the fear mongering right can face facts

The Maine Tax Cut Bill does not favor the rich and hurt the poor. What the right ignores is the new bill's tax credits. These progressive tax credits more than compensate for the increase in the tax rate at the lower income levels. Declining at higher income levels maintains the progressivity of the tax code.

The Maine Tax Cut Bill does not expand the sales tax to include everything but air. Fact remains Maine will after implementation of this tax cut tax few items and services than most states.

The Maine Tax Cut Bill does increase the Meals and Lodging tax. But the meals and lodging tax will still be below the rest of New England. So the increase should have little or no impact other than to increase state revenue and reduce taxes for Maine residents.

Don't believe this republican propaganda. None of it is true.

GARY SAVARD's picture

This bill will not save

This bill will not save anyone any money, but I think in a way it's funny that the 53% or so of Mainers who don't pay any income tax will now get bit in the butt with sales taxes on many services that are now tax exempt, such as car repair labor,  movies,  higher meal taxes...and on it goes.  Many of these people will fall for the false ads promoting the bill and vote to keep it, unfortunately. Then again, that's how the same taxers and spenders keep getting elected to run our state year after year.

Douglas Mac antSaior's picture

Perhaps you will pay less in

Perhaps you will pay less in taxes if: you never eat out, go to a movie, get your car repaired, or seek any entertainment outside a rousing game of solitaire. This ridiculous bill will kill many small businesses as Mainers yet again have to pull the strap tighter. When will the useless, spineless twaddle out there understand that new taxes are not saving them money?

 's picture

Wrong, SSDD!

Why are mine increasing every year?  The only relief I get is when I purchase something in NH when I happen to have to go south for camping or whatever.  My accountant must be missing something.  But I doubt  it.

RONALD RIML's picture

Got an Anchor tied to yer Ass???

There are states with lower taxes. We're 15th highest.

Quitcher bitchin', get yer wagon, and start hitchin'. The states with the two lowest tax burdens are Alaska and Nevada. But you don't even want to compare crime rates!!!

 's picture

And the Village Idiot (tron)

And the Village Idiot (tron) speaks.

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