Wednesday, December 08, 2010

Texas Republicans WILL Raise Taxes

A state representative here in Texas wants to keep the Republicans honest.   State Rep. Richard Pena Raymond is introducing a proposition in this next session of the Texas legislature that would create a constitutional amendment.   He calls it "Honesty in Taxation".

The Republicans campaigned on a platform of no new taxes.   They claimed (and still are claiming) that they can balance the state budget without raising taxes.   They say they will do it by cutting state expenses.   Of course this is ridiculous, considering that the state is facing a budget shortfall of around $25 billion or more for the next biennium (and every state agency or department has already suffered three rounds of cuts and yesterday was asked to cut another 2.5%).

The fact is that most agencies are already operating on a bare-bones budget and there is very little left to cut without seriously damaging their ability to fulfill the mission given them.   Rep. Raymond (and any Texan with even half a brain) knows this.   He also knows that the Republicans are going to raise a lot of new money -- they just won't call it a tax raise.   Rep. Raymond's amendment would make these new income sources be labeled as taxes, which they really are (regardless of what semantic games the Republicans want to play).

Rep. Raymond says,   "Before you go starting to double or triple or quadruple what somebody pays for a driver's license, for a birth certificate, for a hunting license, I think we need to be honest with the people and call them taxes."   He is absolutely right.

The Oxford American Dictionary defines a tax as "government revenue compulsorily levied on individuals, property, or businesses. . . levy, impost, duty, tariff, toll, excise, customs, dues." That makes it pretty clear.   If the government demands money for a service or certificate or any other reason, it is a tax -- and it doesn't matter if they want to call it a fee or anything else.

The Republicans are not now and never have been serious about their pledge to not raise taxes.   They are just playing semantic games with the citizens of Texas.   They simply cannot make up the $25 billion dollar deficit by cutting alone.   They will raise fees.   And they will claim it was not a tax raise.   They will also broaden the sales tax base by taxing items that are currently not taxable, and since the tax rate will be the same they'll claim they didn't raise taxes.

There's going to be more money coming out of the pockets of Texans and going to the government.   Whether the Republicans admit it or not, that will be a raise in taxes.

However, don't expect Rep. Raymond's amendment to get approved by the Republican-dominated legislature and submitted to the voters.   I think voters would pass the amendment, but Republicans will never let it get that far.   That would mean they would have to be honest with voters and admit their new revenues are really taxes -- and honesty is something Republican politicians don't care to indulge in.

There will be new taxes (or a raise in taxes).   And the Republicans will claim they aren't really taxes.   Count on it.

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