Showing posts with label sales tax. Show all posts
Showing posts with label sales tax. Show all posts

Tuesday, April 9, 2013

"JINDAL SCRAPS TAX PLAN"

SOMETIMES WE WIN!

Gov. Bobby Jindal bowed to public sentiment Monday and shelved his plan to immediately eliminate income taxes and raise sales tax.

The governor admitted defeat on the first day of the legislative session during a speech to a joint gathering of the Louisiana House and Senate.

Jindal said he heard the complaints that he moved too fast and that his approach was not the best one.

House Democrats, religious leaders, public research groups, the business community and even the governor’s own accounting consultant found fault with his proposal to eliminate the state’s personal income and corporate taxes in favor of a higher state sales tax rate and a broadening of the sales tax base.

“Let me do something politicians don’t normally do,” Jindal said. “We’re going to adjust our course. We’re going to park our tax plan.”
Jindal's withdrawal of the plan demonstrates what citizens can accomplish by working together.  Hardly anyone except Jindal and his close advisers liked the tax plan, which was poorly crafted, with numbers that did not add up.   Perhaps Jindal and his inner circle have learned a lesson about opening up their planning process to outside advice, rather than operating in secrecy and holding plans close to the chest until the eleventh hour before the legislature convenes.  Still, Jindal and cohorts are crafty, so citizens must must remain vigilant and not let down the guard, for further nefarious schemes are likely to emerge.

The people of Louisiana have won only a reprieve from the negative consequences of Jindal's tax plan and are left with many problems still to be solved.  Political leaders in the state need to accept the reality of raising revenue to prevent further depredations on programs, institutions, and infrastructure than have already happened during the first term of the Jindal administration, but I doubt the will is there in either the governor or the legislature.  The repeated rounds of mid-year budget cuts because of faulty projections of revenue must be addressed to enable state programs and institutions to operate with a measure of stability.

Friday, February 15, 2013

IS OUR GOVERNOR LEARNING?


A new national poll focused on Louisiana shows Gov. Bobby Jindal with only a 37 percent approval rating and it also indicates that Sen. Mary Landrieu, D-La., leads several potential opponents in her 2014 re-election bid.

The poll, conducted by Public Policy Polling, of North Carolina, which conducts polls for Democrats and progressives, focused on Landrieu’s re-election chances, but also took note of Jindal, whom the firm polled at a 58 percent approval rating in 2010. The poll was not done for the Landrieu campaign.

The new poll that places Jindal at a 37 percent approval rating was conducted Friday to Tuesday by surveying 603 Louisiana voters through automated telephone interviews. Jindal had a 57 percent disapproval rating in the new poll.
From the Advocate today:
Gov. Bobby Jindal said Thursday everything is on the table as he tries to develop a plan that eliminates personal and corporate income taxes in a “revenue neutral” way.

“We don’t have a proposal yet,” Jindal said.

Jindal met briefly with local reporters following an event at the Governor’s Mansion honoring couples who had been married in excess of 70 years.

He fielded a half-dozen questions in his first availability to State Capitol reporters in about four months.  (My emphasis)
 Perhaps his low poll numbers got the governor's attention, and he decided to throw a bone to the local media and meet with them briefly and answer a few questions.

Note that Jindal's new tax plan is not yet ready.  The next regular session of the Louisiana Legislature will convene on April 8, 2013.  Will the tax plan be presented to the lawmakers at the eleventh hour and rushed through without giving the legislators time to examine the plan closely, as was the voucher bill for private schools, the financing of which has already been called into question by the State District Court?
Judge Timothy Kelley of State District Court ruled that the way in which the state finances its new voucher program violates the state Constitution, as it relies on money intended in “plain and unambiguous” terms solely for public schools.
As Jindal's minions in the legislature speeded the voucher bill through, Louisiana legislators, with few exceptions, meekly went along.  What could they do in the face of Jindal's awesomeness?  We'll see what happens to the tax plan.  When the lawmakers see the poll results for Jindal, they may begin to think for themselves when the time comes time to vote for a massive restructuring of the tax system in Louisiana.  Since the ideas of Jindal and his admirers in the legislature seem not to be firmly planted in reality, I don't see a good outcome if the tax restructuring plan, whatever it is, passes in the legislature and becomes law.