Monday, May 12, 2008

Mr. Smith its not Black and White Property Tax Reform

Too bad the world is not black and white, but to some people it is black and white and that is one of the things that is wrong with our political system.

Do you believe in this or that and you can’t say anything else. Let me give you an example of someone trying to be good but at the same time is causing harm with his black and white approach.

The question of taxes in Indiana and specifically property taxes is a hot issue.

Mr. Aaron Smith runs a web site, http://finplaneducation.net/2008_general_elections.htm, and to be very frank he is black and white, you are either 100% with him or you are no good. Well I am 99% with him and therefore no good.

That is a basic problem we currently have in government and people like Mr. Smith that add fuel to this fire and that is one of the primary factors of what’s wrong and what needs to be changed. He wants everyone to stand up and vote for a constitutional amendment to cap property taxes at 1%. While a great idea, its not going to achieve what he wants in the long run. Instead we need to look at what he wants. The real objective is to reduce government spending and to cap a tax doesn’t reduce government spending, what will happen is that spending will continue, bonds will be issued, and all of a sudden, the government leaders will say the amendment was wrong we have to vote to remove it or no more police and fire protection. Anyone want to take this bet? Or will the next session of the state legislation, all of a sudden change the property tax law again, after all it will be after the election and the special interest groups will be at it, especially the Association of Cities and Towns. They will do everything they can to get this changed back. We need meaningful reform not just a reduction. In the long run it won’t work. But Mr. Smith is so mad; he can’t seem to see that. If I had my magic wand I would do away with property tax, as we now know it altogether.

Don’t get me wrong I would vote for the cap, but it does not have to be in the constitution. If you take the time to read HEA 1001 you start to find one hole after another. Local government will bypass the property tax and enact other taxes by a different name; one local government that claims to have low property taxes has all kinds of fees, some of which belong in with the property tax since each and every property pays the tax.

So Mr. Smith you and your web site have lost all creditably with your philosophy. The same kind of philosophy that President Bush has when he told the world you are “either with us or against us.” You listed me as Taxpayer Unfriendly. You state unfriendly candidates believe the greatest good is served when the fist of government is shoved ever deeper in the wallet of ordinary working families. The problem is I want to go further than your statement and reduce government spending. A concept you don’t seem to understand. I am far from taxpayer unfriendly.

Mr. Smith why don’t you work towards reforming the entire system. The caps of 1,2,3 are unfair to people who rent, to farmers who will have to increase our food prices and to businesses that will have to charge us more. The new system does not take care of trending to where your taxes will increase due to value increase and will still force people on fixed incomes out of their homes. This is a band-aid and not a real fix. No, Mr. Smith sounds like this is something you just want and your website is black and white and not correct in today’s world. Mr. Smith your are the one that is Tax Payer Unfriendly.

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