Jan
8
Written by:
Sarah Ford
Friday, January 08, 2010 11:09 AM
The Jan. 11 issue of Headlines includes a Worth Repeating by MSU Economics Professor Charles Ballard on the subject of a graduated income tax. By nature, taxes tend to be a topic that people have strong feelings about.
The Jan. 11 issue of Headlines includes a Worth Repeating by MSU Economics Professor Charles Ballard on the subject of a graduated income tax. By nature, taxes tend to be a topic that people have strong feelings about. Professor Ballard proposes that Michigan needs to move toward a graduated income tax in order to improve equality in our tax system and generate more revenue for our floundering state. According to the Michigan League for Human Services, Ballard notes, a graduated income tax could generate more than $600 million per year while cutting taxes for 90 percent of Michigan residents.
Changing Michigan's tax structure isn't a new conversation, but in light of the state's revenue situation it's one that's come to the table again. Other ideas that are being thrown out include*:
- Sales tax on services - currently Michigan taxes only 26 out of a possible 168 services.
- Reduction of the senior tax preference - Michigan tax breaks for seniors are the highest in the country; three times the national average.
- Beer tax - a 6 cents per can tax could generate almost $90 million in additional revenue.
What do you think? Would Michigan be better off with a graduated income tax, where those who make more, pay more? What other changes would you propose to Michigan's tax structure? Are there changes that could be made without increasing the tax liability for Michigan's citizens?
* From the Michigan League for Human Services Fast Facts
1 comment(s) so far...
Re: Changing Michigan's Tax Structure - Good or Bad Idea?
"Are there changes that could be made without increasing the tax liability for Michigan's citizens?" Sure.... how about cutting spending for something other than educating our kids? Seriously folks, I know people that are taking part in the "No Worker Left Behind" program that entitles them to free tuition, books and living expenses as long as they maintain a C+ or better average. And this is happening right under our nose while Lansing slices and dices our per pupil funding.
Or how about the state allowing school boards to take back control of their schools. The MEA is sending many districts into insolvency and nobody in Lansing seems to be even talking about it. Maybe if the state allowed schools to operate themselves we wouldn't NEED as much money to provide a quality education to our children. You know something is wrong when you fondly recall the days when teachers could strike.
Heck, I'm now hearing talk that districts will be required to increase their contributions for their teachers retirement. Why?.... because the markets tanked and there isn't enough money to maintain benefits a current levels??? Well welcome to the real world where real people experience the same gosh darn thing and you know what they do? They live on less, go back to work OR BOTH!!
Raising taxes is a bad idea! Get people off their rear ends and make them find their own way in life and while your at it... bust up planet union! You'll do a lot better than 600 million a year that way!! Raising taxes will just chase more "rich" people out of the state and I don't know about the rest of you but I've never been given a job by a poor person!!!
By John Q Boardmember on
Wednesday, January 20, 2010 2:22 PM
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