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Friday, November 30, 2007

Governor Hoeven Is Against Initiated Measure To Cut Income Taxes

The other day I heard from a politically-connected friend that Governor Hoeven has been telling reporters, off the record, that he is opposed to Americans for Propserity’s initiated measure to cut North Dakota’s income tax by 50% (and corporate income tax by 15%).  This news didn’t particularly surprise me as the Governor has never shown much enthusiasm for tax relief, and some of his close political allies I’ve talked to have expressed disinterest in the measure as well, but I decided to go straight to the source to confirm the rumors.

It turns out that the Governor is against the measure.

This is what I got back from Hoeven re-election campaign manager Don Larson:

The Governor supports tax relief. He led the drive for the $120 million property tax relief bill last session, it was the largest tax cut in North Dakota history. And while he doesn’t believe the AFP measure is the best vehicle accomplishing tax relief, he will support additional and substantial tax relief next session. In fact, the Governor intends to layout his vision for future tax relief during the upcoming campaign.

Seems sort of...milquetoast, no?  Maybe the sort of thing you’d expect from a Republican governor who isn’t really all that Republican.

Hoeven says that the AFP measure “isn’t the best vehicle” for “accomplishing tax relief,” and then alludes to some possible policy announcements in the future about tax relief.  As a taxpayer in North Dakota, I find that completely unsatisfactory.  Every day citizens of this state struggle with their tax burden even as the state enjoys massive budget surpluses.

If cutting the income tax in half to give some of these surpluses back to the people isn’t appropriate, what is?

One gets the idea that Hoeven doesn’t really want tax relief at all, but is afraid of coming right out and saying it.  He is campaigning on the $120 million property tax relief package as the “largest” of its kind in state history, but the truth is that relatively few North Dakotans will actually collect it.  Only those who directly pay property taxes (meaning renters, dependents, etc. are left out) as well as those who pay the income tax (meaning senior citizens, the disabled, etc. are left out) get tax relief.

Wouldn’t it be better to cut income tax rates for all working North Dakotans?  Governor Hoeven doesn’t think so, but I think he needs to explain to North Dakotans why.

Comments

THIS time he’s for tax cuts. 

Hey governor how come I gotta pay my taxes today and then get my paltry tax relief in April. 

I mean the money was sitting in the account last year.

Now that it’s property tax season figure out how much you’ll get back.  Then figure out how much of that $300,000 in surplus funds (outside of trust funds) should have gone to you?  That’s $500 per citizen.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on November 30, 2007 at 04:48 pm
Avatar for Socialist

Eliminate taxes altogether, that’s what I say. Then we will see what kind of state we end up with.

Socialist on November 30, 2007 at 05:18 pm

Show’s the depth of those guys.  The gal doesn’t have any justification for taxes being that high so she gets silly.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on November 30, 2007 at 05:27 pm
Avatar for FreeRepublicans.com

Grand Forks, Fargo, and Minot are facing sales tax increases…

Reason #454 for the tax cut:

To allow North Dakotans to continue to afford supporting the state’s economy even though local officials are doing all they can to destroy it.

FreeRepublicans.com on November 30, 2007 at 06:18 pm
Avatar for Socialist

Local communities need to raise taxes to support corporate fascism. Come to our town, give us a sweatshop and we will strip the citizens of their money so we can hand it to you so you can use it against the people we stole it from.

Same shit, different fascist. The Republofascists are doing the exact same thing at the federal level. Taking the people’s money and turning around and using it against them.

Socialist on November 30, 2007 at 08:24 pm
Avatar for george

I don’t know where to begin…

Not being for the AFP measure doesn’t mean you are not a Republican. So now only people that agree with you get to call themselves Republican? That will be a very small tent.

Since the vast majority of Republicans like Hoeven, maybe it is not Hoeven who isn’t a Republican.

Not being for the AFP measure also doesn’t mean you are against tax relief.

Hoeven would be crazy to lay out his proposal this early in the campaign. Get real.

No matter how much anyone wants tax relief now, nothing can happen until 2009.

And so Hoeven cuts employment taxes and gets no credit here. That is a major business development issue. What kind of balance is that?

Everyone who pays property taxes gets the relief. No one is left out, even if you don’t pay income taxes.

And property tax payers pay a tax 40% of the public who uses the services don’t pay and property tax payers more taxes than anyone else. Property taxes are the most out of whack and the most regressive.

george on November 30, 2007 at 09:18 pm
Avatar for FreeRepublicans.com

George,

The “big tent” is fine, so long as the one thing everyone under the tent agrees with is fiscal conservatism.

FreeRepublicans.com on November 30, 2007 at 09:24 pm
Avatar for FreeRepublicans.com

Everyone who pays property taxes gets the relief. No one is left out, even if you don’t pay income taxes.

Why do you ignore the fact that the state is not involved in levying the property tax, and should not use socialistic re-distributive processes to take from those who pay income tax only to give to a smaller number that pay property tax?

Why do you ignore the fact that the only reason our state is considered “business friendly” is because 50% of that score is based on the fact we are a low wage state?

Why do you think that people who can afford property are more important and more deserving that those that can’t afford property?

Do you not realize how much personal wealth is being driven out of state by our income tax?

And property tax payers pay a tax 40% of the public who uses the services don’t pay and property tax payers more taxes than anyone else. Property taxes are the most out of whack and the most regressive.

Are you dense?  If the state is going to bail out local governments, why do we have local governments?

Separation of power exist for a reason.

FreeRepublicans.com on November 30, 2007 at 09:30 pm

Not being for the AFP measure doesn’t mean you are not a Republican.

No but jacking up spending 23% and spending the funds out the PERMANENT oil tax TRUST fund does mean your an irresponsible leader and should not be in office.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on November 30, 2007 at 09:58 pm

And a Republican ought to care about the people that work and pay taxes in the state rather than currying favor with the public employee unions over and above everything else.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on November 30, 2007 at 10:01 pm
Avatar for george

Whistler,

By your analysis, we should boot every legislator and elected statewide official. Every one of them voted for or supported dramatic increases, just to varying degrees. That goes for Stenehjem and Carlson too.

BTW: The ND constitution gives the checkbook to the legislature. All the governor can do is make a recommendation and veto what he dislikes. So before you tee off on how Hoeven sets the direction, you need to understand ND process. And if you paid attention, there is always a huge power struggle between the legislature and the governor’s office over who is really in charge. It has been going on since the 60’s.

And who is currying favor with public employee unions? That is crazy. A couple of years ago, they got no increase and the average wage increase since 2000 has been below ND wage growth averages. Hoeven’s whole deal is about helping ND business create jobs.

george on December 1, 2007 at 03:13 am
Avatar for george

Free,

You really got to get a grip on reality.

ND has been involved in local taxation issues for 125+ years. Our constitution mandates the state provide local resources. ND sends over $1 billion each biennium back to local governments to offset local property taxes. State law sets what local entities can tax and how much. This tax relief just takes the ability of local government to spend the money instead of cutting property taxes away from local governments.

You want to talk about fairness. I pay all the taxes you pay and I pay property taxes. Those taxes fund your schools, police departments and snow removal.

Now that is unfair.

george on December 1, 2007 at 03:22 am

"By your analysis, we should boot every legislator and elected statewide official. Every one of them voted for or supported dramatic increases, just to varying degrees. That goes for Stenehjem and Carlson too.”

Now your on the trolley, george! Though you forgot, strip them of every penny of tax money they were paid or stole while in office.


Una Salus Victus Nullam Sperare Salutem

2Hotel9 on December 1, 2007 at 05:06 am

Hoeven’s whole deal is about helping ND business create jobs.

It’s been about the government employees all along.  2,000 more workers.  More money and less work for teachers. 

The state government is a hindrance rather than a help to most businesses. 

It’s certainly fair to blame the Republican legislature somewhat, however I think they were in a tough place fighting the governor, the Democrats, the news media, and the public employee’s unions.

And we did get something very near what the governor proposed.  I think we would have done a lot better with good leadership.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on December 1, 2007 at 06:18 am

I should say that when I said it was all about the government workers and more money for less work I was referring to this springs session.  It’s less true prior to that but what did he campaign on both times?

More money for less work for some government workers.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on December 1, 2007 at 06:40 am
Avatar for Roughrider

George--
I challenge you to tell us all what your association is with the Hoeven campaign.  Your talking point analysis is a little to obvious.  You either work for or with the campaign.  Just be honest.  And how long have you been personally friendly with JH?  Ringers like you abuse the purpose of a forum like this.  A disclaimer would only be fair. 

Let me guess, Pat Finken?  Don Larson?  We’re all waiting to hear.

Roughrider on December 1, 2007 at 11:08 am
Avatar for Renni

Again, I’m just trying to understand something here. I keep hearing that state income taxes are ridiculously high, they’re higher than the federal taxes, etc. etc. I looked at my last pay stub just to check it out and I pay almost five times more in federal income taxes than I do in state income taxes. I don’t see the correlation with these arguments.

In addition, I have to agree with George. Property owner pay a whole lot more in taxes and I support relief for them wholeheartedly. The amount they get back is a lot better than the paltry amount I’d get back from this initiative. But that’s just a viewpoint from an average person, so if you think I’m mistaken, I’d like to see some evidence on how state income taxes are so high.

Thanks

Renni on December 1, 2007 at 04:17 pm

I pay more in state income taxes because of the $1000 per child tax credit I get from the feds.

The evidence of being overtaxed is simple, they had a $300 million dollar tax surplus at the end of last year.  We were overtaxed and the Governor and legislature kept the money.

And of course not only do we pay income taxes but we pay sales taxes to the state besides.

As far as property taxes it’s a lie that they are so high because the state doesn’t subsidize the localities enough.  They’ve increased their payments time after time.  The problem is that the localities are greedy and are spending too much money.

Anything that empowers them to spend more is a mistake.  Governor Hoeven’s tax scheme does just that, let alone the huge amount of subsidy increases he also did.


What’s going to happen to US industry when the global warming extremists like John McCain double the price of electricity?  I would think all these factories will close and set up in countries where they aren’t scared of technology.


The Whistler's signature
The Whistler on December 1, 2007 at 04:30 pm

renni, do you pay more than 1% of your income in taxes, total? If so you are being screwed, as is everyone else in this country. Why are you happy to be screwed?


Una Salus Victus Nullam Sperare Salutem

2Hotel9 on December 1, 2007 at 04:50 pm
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