NHAC: Why NH now needs CARC24 to stop an Income Tax
[This was written by my colleague Mike Biundo - I couldn't have said it better.]
CACR24, a constitutional amendment prohibiting an income tax is coming up for a vote on Wednesday February 13th. Now I was thinking of going with the whole early Valentines gift for the taxpayers’ argument but have since been convinced that it might not be the best route.
As a former legislator, I always looked towards both history and current events as a tool when making important policy decisions. I think CACR24 is a prime candidate for us to apply that logic to, but first a little background on CACR24. If passed CACR24would give the people of New Hampshire an option and a voice on whether or not to prohibit an income tax. The passage of CACR24 means voters from Nashua to Pittsburg will get a chance to vote for (or against) protecting the New Hampshire advantage from those who wish to strip it away.
So let’s take look at the current events happening in our state, and see if they lead us towards a path that shows a need for an amendment that protects us from an income tax.
Currently in NH, we have a $50-$175 million dollar budget hole, caused by the 1/2 billion in additional state spending. We just incurred $100 million in new taxes and fees that were approved by this legislature and signed by our Governor. We currently have an education funding fiasco fueled by an out of control court, and perpetuated by a legislature and Governor willing to capitulate. We also currently live in a Democrat controlled reality, which puts pro-income-taxers in positions of power, such as Representative Susan Almy. Almy is the Chairman of the House Ways and Means Committee, who actively support the income tax, and who stated just last year a personal quandary; on one hand she has "nightmares about how to pay for [2007 Democrat Party 17% increase in] government programs,” but doing this “…without instituting an income tax.”
You add this all up and you begin to see the ominous clouds darkening on the otherwise golden-hued horizon of the New Hampshire advantage. However before we jump onto supporting CACR24, as I said before, I think it is important to look at both history and current events, so let’s look at some history.
On January 9th 1997, Governor Shaheen was inaugurated the 88th Governor of New Hampshire. During her 16 minute speech, she reaffirmed her support for "the pledge" against a sales or income tax. However by December of 1999, an eventual flip-flop began to materialize. Rumors of that flip-flop began to swirl after the governor was asked at a forum in New London whether she would veto an income tax. Her response was evasive at best, "I'm looking at that issue,” she said. We now know that in March of 1999 the rumors turned into a flip-flop reality and that Jeanne Shaheen went on to offer us a state wide property tax, a capital gains tax and a willingness to consider a sales tax.
Good thing for New Hampshire taxpayers that our legislature was in the control of fiscal minded Republicans at the time, and not the income tax crowd that walks those halls today. Otherwise we might just look a little bit more like Massachusetts and I wouldn’t be writing and discussing how to protect the New Hampshire Advantage, but perhaps how to restore it.
So what can we learn from this history and these current events? How does that apply to an amendment put into the Constitution - prohibiting an income tax in CACR24?
I believe that if you add (1) our out of control spending, (2) to the fact that politicians can and do break their word, (even if it is in the form of a pledge see : Jeanne Shaheen) and (3) the $50-$175 million dollar fact that we are starring down a huge budget deficit, (despite the $100 million in new taxes passed last year), and (4) that our state is being run by those who do have long advocated for an income tax (such as Representative Susan Almy, Chairman of Ways and Means), not to forget our innocent Governor (John Lynch) that is so afraid to stand up to income-taxers, you throw on top a education funding fiasco (brought to you by activists judges bullying a weak Governor and Legislature), you will have ‘the perfect political storm’ that is readying to smash our taxpayers.
So this leads me back to history and a question. What have we always done as a country when our politicians let us down? Simple, we turn to the strength and wisdom of our people to fix it. Democracy demands our input and voice on permanently prohibiting the personal income tax by passing CACR24.
I will leave you with this quote and it is from our current Governor’s State of the State address, even though it was for another Constitutional Amendment, I think it rings true.
“Whether you are for an amendment or against an amendment, let the people vote,”.
Let the people vote indeed. Tell your legislator we need CACR24. Stop The Income Tax. Legislator contact information can be found at www.thenhadvantage.com.
Tammy Simmons
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Reader Comments (12)
A better anti-income and anti-sales tax bill was 2007’s CACR16, which failed. It would have amended the Constitution at Article 5, and it read in full,
The general court shall not introduce a bill to enact an income tax or a sales tax unless a majority of voters voting in a non-binding statewide referendum approve the introduction of such a bill.
See www.gencourt.state.nh.us/ie/rollcall/rollcallsbyvotedetail.asp?sessionyear=2007&voteno=101&body=H
Last year’s bill would have removed the Legislature’s power to tax, but gave power to the people to give it back at one ballot box vote. Once the people grant it back, then the Legislature could submit a bill, debate it, vote on it and, if passed, send it to the Governor –who could veto the bill. This current bill will fail, because it goes too far in eliminating the people’s voice in the matter by creating too high a hurdle for people’s choice.
Worse, Mr. Buindo seems schizophrenic on this issue. He only wants a bill that he could claim Democrats opposed. He really doesn’t want it passed; as the issue will no longer be a wedge issue for Republicans to exploit against Democrats. For example, where was Mr. Buindo last year? Why did only 49 true anti-tax folks vote for CACR16 last year, both Democrats and Republicans? Mr. Buindo didn’t back last year’s piece, because it was presented by an anti-tax Democrat Buindo and his type do not like. Yes, many Democrats don’t like taxes. Mr. Buindo ignores them (or tries to hurt them), because he is pure partisan politics, not principles. Free speech and free choice work both ways, as Rep. Bettencourt knows. Rep. Bettencourt supported last year’s bill and sponsored this year’s. Rep Bettencourt should join the Democrat who sponsored last year’s bill and both should submit a bipartisan anti-tax bill for wider support and passage. That avoids the political exploitation and wedge issue Buindo and his ilk really seek.
Your group should thank her. This is the closest that New Hampshire will come to ending the disparities in funding of education.
So your mythical “New Hampshire advantage” lives on just as the mythical “local control” of education.
We do not have a referendum systemm of legislation. The theory is that because we have 400 representatives, referendums are not needed. Our reps are close to the people they represent, and accurately reflect their views.
He will veto any sales or income tax.
He'd better stop helping create the climate for one.
* Form 16 is all you need to file ITR if you have reported all your income to your employer.
* It is your right to obtain F16 from the employer within 15 days time after the end of the financial year.
* Obtain your Form 16 early, so that you can file your return early. The earlier you file, the faster you will get refund.
* Your chance of scrutiny reduces by filing early.
* Ensure that you have F16s from all the employers that you have worked for during the year.
taxspanner.com