The Tax Bandits Are Back

Everyone, well most people, work hard for their money. They trust the state to collect and spend taxes appropriately. What "appropriately" is can vary from person to person, but there is a certain amount of trust by the people in the government. People also trust the government to give their money back when they file tax returns and are supposed to get money back - just like the government expects you to pay money if you owe it.

So there is a fiduciary responsibility that the government has. In this case - the Legislature is responsible for being the fiduciary of taxpayers' money. This means that the Legislature has a responsibility to act responsibly with the money.

And then there is the reality: The California Legislature just doesn't care. They are busy speaking at engagements and events around Sacramento, holding fund raising events, and working on future legislative packets. They are not engaged in their duty - working to fix the state budget so that the taxpayers' money doesn't go to waste.

Instead, they are going to press the taxpayers for more money.

It is inevitable that taxes are going to raise. Taxes don't need to raise. Programs need to be cut, education funding needs to be cut, and the size and services of government need to be scaled back. People do well on their own, and fail to realize the value of hard work when there are services available for handouts at will from the government.

California has one of the highest tax burdens in the nation. So now they are going to raise it even more.

Of course, the Democrats would prefer the Robin Hood image - taking from the rich and giving to the poor. But in their minds the poor, the needy, include union and union members and education. The proposed tax hikes are regressive - hitting low and middle income Californians the most. A raise in the gas tax, sales tax and car tax hurt people who can barely afford them, while the rich don't see this as a huge problem. I am all for raising the gas tax, but then you have to invest in public transportation. Why not make the sales tax apply to all services (and not just some) rather than raising it?

Assembly and Senate leaders (Bass and Steinberg) tried hard to get their tax package without Republican support - because they know they would not get it without major reforms being included. Instead of facing this reality, they tried to pass new taxes with a simple majority vote by renaming taxes as fees and fees as taxes.

Instead of looking at state government and realizing that expenditures have to equal income, the legislators are trying to raise more income. Households don't have this option. All of use are tightening our belts, realizing that cuts have to be made - and some of those cuts are drastic. Yet the government doesn't seem to possess the same sense of urgency or necessity that everyone else possesses. Why not? Because the state can continue operating on IOUs - they don't have to have income to operate.

Legislators need to get busy and down to work. Expenditures must equal income. That's the bottom line.