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alp227

(32,023 posts)
Sat Jun 7, 2014, 01:25 PM Jun 2014

GOP governor candidates debate ending Arizona income tax

Source: Arizona Republic

Three candidates vying to become Arizona's next governor said Friday that, if elected, they would do away with state income taxes, the source of nearly half of the $9 billion that flows into state coffers each year.

The remarks at a gubernatorial forum hosted by the Arizona We Want Institute revealed contrasting plans for the state's fiscal future.

Seven Republicans are seeking their party's nomination: Secretary of State Ken Bennett, state Treasurer Doug Ducey, former Go Daddy executive Christine Jones, former Mesa Mayor Scott Smith, former California Rep. Frank Riggs, state Sen. Al Melvin and former Maricopa County Attorney Andrew Thomas.

Read more: http://www.azcentral.com/story/news/arizona/politics/2014/06/07/arizona-income-tax-debate-end/10119357/

23 replies = new reply since forum marked as read
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GOP governor candidates debate ending Arizona income tax (Original Post) alp227 Jun 2014 OP
well that'll bankrup the state warrior1 Jun 2014 #1
Nice to know Arizona is so swimming in surplus revenue DFW Jun 2014 #2
Arizona already has one of the most regressive tax bases in the country ThoughtCriminal Jun 2014 #3
AZ kardonb Jun 2014 #4
Yep... awoke_in_2003 Jun 2014 #10
We have a winner! The one who promised no taxes AND a chicken in every pot. Fred Sanders Jun 2014 #5
They think they can get $2 million by manipulating the sales tax system jmowreader Jun 2014 #6
Taxing anything that makes a lot of money is un-republican cosmicone Jun 2014 #8
Taxing anything PERIOD is un-republican jmowreader Jun 2014 #13
Tax political contributions! SoapBox Jun 2014 #16
they are going to grow weed to make up for the lost revenue. And they will tax weed so high only kelliekat44 Jun 2014 #7
Weed is so expensive now, that legalizing it will bring the cost way down, making room truthisfreedom Jun 2014 #23
I lived in Washington State most of my life, and we never had a state income tax there. Zorra Jun 2014 #9
But then sales tax would have to be raised.... awoke_in_2003 Jun 2014 #11
Washington has a much-hated business & occupations tax jmowreader Jun 2014 #14
If they don't get it one way, they will get it another. SoapBox Jun 2014 #17
If a Democratic candidate proposed eliminating the personal income tax ... 1StrongBlackMan Jun 2014 #19
Washington State's property tax is much higher than Arizona's QED Jun 2014 #20
Arizona: We Want graegoyle Jun 2014 #12
Here in Texass we have big Sales tax and big Property tax. Guess who takes THOSE hits ?!?! blkmusclmachine Jun 2014 #15
The Oligarch Plan is to Eliminate Income Taxes (Based on Ability to Pay) LarryNM Jun 2014 #18
And in the same edition of the Arizona Republic.... QED Jun 2014 #21
Andrew Thomas atreides1 Jun 2014 #22

DFW

(54,378 posts)
2. Nice to know Arizona is so swimming in surplus revenue
Sat Jun 7, 2014, 01:57 PM
Jun 2014

There aren't many States that can forgo half the revenue they currently take in and still stay solvent.

Oops. Arizona is one of them.

Oh, well, who needs schools, police and roads, anyway?

ThoughtCriminal

(14,047 posts)
3. Arizona already has one of the most regressive tax bases in the country
Sat Jun 7, 2014, 01:59 PM
Jun 2014

They want to shift more of the burden to the poor and lower middle class.

 

awoke_in_2003

(34,582 posts)
10. Yep...
Sat Jun 7, 2014, 06:00 PM
Jun 2014

to make up the difference they will have to raise sales and or property taxes, both of which will hit the poor the hardest.

jmowreader

(50,557 posts)
6. They think they can get $2 million by manipulating the sales tax system
Sat Jun 7, 2014, 04:47 PM
Jun 2014

They're claiming $1 billion can come from imposing the sales tax on everything that isn't currently taxable, and another $1 billion by raising the rate one cent.

The other $2.5 billion is going to come from "policies that will quickly grow Arizona's economy." Where have we heard this before?

Here's reality: Unless their "policies that will quickly grow Arizona's economy" include converting every empty big-box store in the state to a casino, imposing an outrageous room and meals tax, and hacking the air traffic control system so planeloads of gamblers land in Phoenix rather than Vegas...or drilling 500 more oil wells and taxing the fuck out of them..the only way they can make up a $4.5 billion shortfall is with property taxes.

jmowreader

(50,557 posts)
13. Taxing anything PERIOD is un-republican
Sat Jun 7, 2014, 06:40 PM
Jun 2014

The only thing I can imagine, is this is the most extreme "starve the beast" plan yet tried: they're going to reduce revenues 50 percent then use spending cuts to balance the budget.

The problem with this theory is simple: there's not $4.5 billion worth of excess spending. The only possible way to pull it off is to fund the schools exclusively through local levies.

 

kelliekat44

(7,759 posts)
7. they are going to grow weed to make up for the lost revenue. And they will tax weed so high only
Sat Jun 7, 2014, 04:58 PM
Jun 2014

the wealthy will be able to buy it.

truthisfreedom

(23,147 posts)
23. Weed is so expensive now, that legalizing it will bring the cost way down, making room
Mon Jun 9, 2014, 07:53 PM
Jun 2014

for taxes without raising the overall price. My guess is that the price will actually drop.

Zorra

(27,670 posts)
9. I lived in Washington State most of my life, and we never had a state income tax there.
Sat Jun 7, 2014, 05:52 PM
Jun 2014

Now I live in AZ, and we do have a state income tax here, and I totally think it sucks in comparison. Arizona's state sales tax is 5.6%, only 1 percentage point lower than Washington's 6.5% sales tax.

Hate paying income taxes? Try these 7 states

6. Washingtonin comparison to
• Tax collections per capita: $2,566 (19th highest)
• State revenue per capita: $5,156 (20th lowest)
• State spending per capita: $6,735 (24th highest)
• Federal aid as a % of revenue: 31.3% (10th lowest)
• State sales tax rate: 6.50% (10th highest)

With no income tax, Washington relied heavily on its 6.5% sales tax, the nation's 10th highest rate. This tactic has worked in the past: in 2011 the state raised $1,559 in sales tax revenue per resident, more than nearly all other states. This accounted for the majority of the $2,566 in taxes collected by the state that year. Localities often depend on the sales tax for revenue as well: the average local sales tax paid by a Washington resident is nearly 2.4%, bringing the total sales tax rate to nearly 9% — fourth highest in the United States. Although sales taxes are often considered to be especially costly for the poor, Washington makes up for this by having the nation's highest minimum wage, at $9.19 an hour. It is also one of the nation's stronger states for education spending, at $2,180 per capita in 2011.

http://www.usatoday.com/story/money/personalfinance/2013/03/23/states-income-tax/2002991/


If a Democratic candidate proposed eliminating the personal income tax, (but not the corporate income tax) that would make me think about voting her/him in the primary.

jmowreader

(50,557 posts)
14. Washington has a much-hated business & occupations tax
Sat Jun 7, 2014, 06:49 PM
Jun 2014

They tax gross receipts, not profits - and it's really complex to figure out. They also have a property tax that takes a chunk out of your ass every year.

SoapBox

(18,791 posts)
17. If they don't get it one way, they will get it another.
Sat Jun 7, 2014, 08:38 PM
Jun 2014

Money is needed period.

So it comes down to where the money comes from.

 

1StrongBlackMan

(31,849 posts)
19. If a Democratic candidate proposed eliminating the personal income tax ...
Sun Jun 8, 2014, 09:47 AM
Jun 2014

even if they kept (or even raised the corporate income tax), I'd consider them most unserious ... the math just doesn't work without raising the sales tax (which hurts the working classes) and a raising of property taxes at the county level (which hurts the working classes and burdens the housing industry) and the introduction of a host of schemes that shift expenses from the state to the local level ... all of which hurts everyone.

Besides ... per the Tax Foundation, Washingtonians paid about 27% more per capita, than their Arizonan brethren/sistern ($4,366 vs $3,194, per capita).

LarryNM

(493 posts)
18. The Oligarch Plan is to Eliminate Income Taxes (Based on Ability to Pay)
Sat Jun 7, 2014, 10:59 PM
Jun 2014

and give the 99% a choice between lesser Benefits and Services or higher Sales and Property Taxes. More benefits for the oligarchs and more pain for the rest. All sorts of Lies and Propaganda will be used to Demonize and Marginalize any opposed to this. Of course, such societies are not sustainable and eventually cease to exist.

QED

(2,747 posts)
21. And in the same edition of the Arizona Republic....
Sun Jun 8, 2014, 12:24 PM
Jun 2014

There is an article about Arizona's job recovery lagging behind the rest of the nation.

AZ Legislature: Trying to follow Kansas's example but expecting different results.

atreides1

(16,079 posts)
22. Andrew Thomas
Sun Jun 8, 2014, 04:46 PM
Jun 2014

Thomas was the subject of an FBI investigation regarding abuse of power and unethical behavior while county attorney. On April 10, 2012, Thomas was disbarred by a disciplinary panel of the Arizona State Supreme Court for his actions as county attorney.

This was the County Attorney who assisted Arpaio in going after a several Superior Court judges and the Maricopa County Board of Supervisors.

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