Income Tax Scam

The Monadnock Ledger Transcript, thus I presume the Concord Monitor as well as the Valley News asks if it is time for an income tax. The Granite State Fair Tax Coalition has been out promoting an income tax with their forums and letters to the editor campaigns. This year’s twist is class warfare, those rich folks are not paying their fair share! If you can’t dazzle them with the brilliance of your idea, baffle them with bull!

Mr. Fernald points out that the top 15% income earners pay far less than half of the property taxes used to pay for the schools. In class warfare, it is always good to bring up the children, who can resist the children! Then compare apples to oranges and hope no one notices. Could it be that the top 15% income earners only own far less than half of the property? Where is the unfairness?

NH already has an income tax, in fact a few of them (go to turbotax.com, enter “States with no Income Tax” into the search box, view the results). There is the Interest, Dividends, and Capital Gains Tax on Individuals (NH DOR Form DP10). Those are income categories of people who are well off, frugal, or trade in equities like real estate, stocks, and bonds. They must pay a tax to the State of NH based on those earnings.

Then there is the Business Enterprise Tax based on a business’ payroll. That would be a tax on the wages of their employee’s. This isn’t the smartest way to implement an income tax, discouraging business owners from adding employees or giving pay raises! The Business Profits Tax is a tax on their profits, a form of income.

What NH doesn’t have is an Individual Wage tax. It is through wages that most people earn an income. What they really want when they say Income Tax is to put in a Wage Tax on all the folks who still get a paycheck. If you get a paycheck this tax is on you!

With the rich, well-to-do, frugal, and the retired paying the interest, dividend, and capital gains tax, and businesses paying the BET and BPT, I suppose it is only fair that those low and moderate income folks who get a paycheck should pay their fair share. Is that what you mean by fairness, Mr. Fernald?

Work Hard, Have Fun!

Bob DeMaura

NHInsider Owner/Operator

Comments

[Tim Oliver]

This is one of the many reasons I despise Democrats.They don't seem able to debate any of thier policies on the merits of said policy.It always comes down to some sort of childish emotional plea,"it's for the children",and if that does'nt work BAM right to the class warfare that they have perfected over the years.

It is impossible to debate these people.They lie,or repeat lies,with a level of comfort that is quite disconcerting.Many times I have had to just walk away from discussions with my so called friends because even after proving the absurdity of thier position they just purse thier lips and shake thier head no.It does'nt matter what kind of evidence you provide.

This latest mess is a perfect example.This is a Democrat created mess.I could give pages upon pages(hell there is plenty of video also) of proof to that effect and the people on the left will cover thier eyes/ears and shout that it was all Bush's fault.Even though he and the Repubs tried eleven different times to do something about this sub prime mortgage mess.

How do you argue/debate intellectually dishonest people?

[Michael Marsh]

A couple of comments. First we do not have a capital gains tax in this state. People who trade in equities do not pay a tax to our state when they have gains on that trade. If the author has been paying taxes on his capital gains, he should refile back taxes and claim a credit.

Second, the poorest fifth of the population here pays about 8% of their income in taxes to the state and local governments. The richest 1% pays less than 2% of their income. This is not ordained by God or the constitution, but simply because of the political decisions the state has made in the past 40 years or so in deciding how to raise money from the citizens. When Mr. Fernald talks abour fairness, he s talking about this disparity in percent of income paid, and is arguing that all members of society ought to pay a roughly similar share of their income in taxes. If the top 15% of income earners i the state make, for example, 40% of the income, they ought to pay 40% of the taxes. In fact, they pay a much smaller share.

This is not an argument for more taxes, or for less. It is an argument for a more equitable distribution of the tax burden

[NH INSIDER]

Mike, Thanks for the correction on the Capital Gains ... Not being at that level I 'misremembered' what I was told about the DP-10 form!

As for the amount of tax burden on low income people, some of that is voluntary.

Stop drinking, smoking and gambling and they would lower their tax burden considerably. Especially now that the State has once again gone after the lowest of income folks with a huge cigarette tax coming April 1. Nothing like balancing the budget on the backs of the poor. Least they could have done was raise alcohol tax up the same percentage and hit about 80% of the states residents.

Work Hard Have Fun!
/bobdm

[DFM]

Mike Marsh, what is it with liberals and Democrats always using the word "equitable?" While the lowest earner may be paying 8% you fail to factor in state and local subsidies that are given to them. It would be interesting to see what the real tax burden is after these subsidies are factored in, which I presume would lower their overall tax percentage. As a transplant from NY, I say no to any sort of broadbased taxes as once its here it will never go away, and the amount will never be enough for the individuals running the state.