Georgians, prepare to pay much higher taxes

On the final day of the 2013 legislative session, a group of Republican legislators introduced “The Georgia Fair Taxation Act.” By doing so, they set the stage for what may prove to be the most important legislative battle of next year’s session, or potentially the decade.

“This bill is the beginning of the discussion to eliminate the income tax in the state of Georgia,” state Rep. Tom Kirby of Loganville said in announcing the legislation. He also said that he has already conferred with and agreed to work with Senate President Pro Tem David Shafer, who has proposed similar legislation on the Senate side.

To offset the revenue lost by eliminating both the personal and corporate income tax in Georgia, Kirby says it would be necessary to increase the state sales tax by three to 4.8 percentage points. In metro Atlanta, that would produce a state and local sales tax of roughly 11 or 12 percent. And as we’ll see, the actual number would be higher still.

In addition, the reach of the state sales tax would be expanded considerably, perhaps to food and other items. The national version of the so-called “FairTax,” cited by Kirby and others as a model for Georgia, would apply the sales tax to items such as rent, health care and tuition.

Such a proposal creates many problems, but here are three of the largest:

1.) The change would mean major tax increases for the vast majority of Georgians, and major tax reductions for the wealthy and corporations. There’s no dispute among economists — a revenue system heavily reliant on sales taxes hits the poor and middle class hard while providing large tax breaks for the wealthy. Merely eliminating the corporate income tax would shift $735 million in taxes onto consumers.

2.) When asked about that massive shift in tax burden this week, Kirby brushed it aside, asserting that greater prosperity would more than compenasate for higher taxes on the non-wealthy. “We bring this piece of the puzzle, and we can see an exponential increase in the number of businesses looking at Georgia,” he predicted.

The problem is, there is no evidence to support that claim. For example, in announcing the legislation, Kirby repeatedly cited competition from Tennessee and Florida, pointing out that those neighboring states have no income taxes. Given the economic miracles that such a system is said to produce, those states must be booming, right? Wrong. Per capita GDP in both Tennessee and Florida is well below the national average, and below that of Georgia as well.

3.) The sales tax increase needed to keep the system revenue neutral will be considerably higher than the estimate of 3 to 4.8 points. That low-end estimate is derived through “dynamic economic modeling”, which is a fancy way of saying “just making stuff up.” “Dynamic modeling” assumes that the new tax system creates a burst of economic growth, which in turn generates a lot of new revenue. It is pure conjecture.

If that magic revenue doesn’t appear, as it probably won’t, Georgia’s battered budget would suffer even more whacks with a meat ax.

The scary thing about these proposals is that they could actually pass. The Senate’s top leader has embraced the concept. As a congressman, Gov. Nathan Deal was a strong supporter of the FairTax at the national level. And now Republican members of the House are championing the move as well. Among the co-sponsors of Kirby’s bill are Ed Lindsey, the House majority whip, and Donna Sheldon, chair of the House Republican Caucus.

“It is tough to win a Republican primary in the state of Georgia and be against the FairTax,” as state Rep. Buzz Brockway, R- Lawrenceville, pointed out last week. “So I think on the Republican side there is broad support for the FairTax model.”

He’s probably right.

373 comments Add your comment

stands for decibels

March 29th, 2013
9:40 am

ok, I’ll do it. first.
whoopie dee doody.

Keep Up the Good Fight!

March 29th, 2013
9:41 am

Fair Tax. :roll: How do they define “fair”?

stands for decibels

March 29th, 2013
9:41 am

On the final day of the 2013 legislative session, a group of Republican legislators introduced “The Georgia Fair Taxation Act.

When a Gooper combines “Fair” with “Tax” in a sentence, assume that it won’t be for at least 80% of the populace. You’ll be correct at least 80% of the time and probably closer to 100%.

liberal hack

March 29th, 2013
9:42 am

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:44 am

I thought Republicans were against tax increases.

F. Sinkwich

March 29th, 2013
9:45 am

“How do they define “fair”?”

Uh, everyone pays?

Gale

March 29th, 2013
9:45 am

They better include a regulation to tax internet sales. About the only things I buy locally are groceries and gas. Sales tax on rent? They are really determined to shift the tax burden to the 99% It is no wonder there were many new millionaires in GA every year.

stands for decibels

March 29th, 2013
9:46 am

I thought Republicans were against tax increases.

only on the “producers.” Not the “moochers.” Duh.

liberal hack

March 29th, 2013
9:46 am

aww man! oh well!

I personally like the idea of paying no income tax and paying a sales tax instead. at least w/ a sales tax, I can buy the cheapest and somewhat control what i pay but w/ an income tax, it comes out of my check and I have no control of that. though if the do eliminate the income tax, sales tax rates should be lower on the essentials like food, health care products ect.

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:46 am

Uh, everyone already pays.

Politically Speaking

March 29th, 2013
9:46 am

This is just another example of the Republican Party striving to take from the poor and give to the rich. I will never understand why anyone in the middle or lower income bracket would ever vote for a Republican.

stands for decibels

March 29th, 2013
9:47 am

Uh, everyone pays?

where “everyone” means “those people with wages that are artificially depressed thanks to relentless efforts by the ruling class upper .5%.”

DebbieDoRight - What this country needs is more unemployed politicians

March 29th, 2013
9:47 am

So, raise your hands if you’re surprised by this turn of events.

Anyone? Any hands?

(crickets chirping in the back ground)

In the middle

March 29th, 2013
9:47 am

I would prefer a sales tax over an income tax. The problem though, with any tax, is the morons that have control over how it is spent. The upside to a sales tax is that everybody contributes. The down side is that it is too easy to increase a percent at a time. How many times have we heard, “for only a penney we can fix blah blah blah”.

mm

March 29th, 2013
9:48 am

Well, ya’ll elected these morons, now you can live with the results.

Poor and middle class people spend all or most of their income to survive and own a few nice things.

Upper class and the wealthy only spend a percentage of their income to survive and own a few nice things. The remainder of their income can be put into savings or investments.

So the poor and middle class will be paying a much higher tax rate on their income than the upper class and wealthy.

I guess this is what it will take for the ignorant con voters to realize they’ve been suckered.

Brosephus™

March 29th, 2013
9:49 am

As soon as they pass that, border cities in Alabama, Florida, South Carolina, North Carolina, and Tennessee will see a boom in economic activity. Why Georgia politicians can’t seem to stop screwing this state up is beyond me. First, the car tag tax is screwing those who lease cars and now this….

stands for decibels

March 29th, 2013
9:49 am

Uh, everyone already pays.

He meant to say “everyone pays MORE.”

Except of course the Godly Captains of Industry who work tirelessly to “produce” for our benefit so be grateful for that begging bowl we issued you, you goddamned peasants.

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:49 am

I will never understand why anyone in the middle or lower income bracket would ever vote for a Republican.

Abortion, teh gheys getting married and having icky secks, gun control, abortion.

Wedgie issues.

stands for decibels

March 29th, 2013
9:50 am

New topic.

How long until demographics take over and we can boot these psychopaths from office?

And a follow up:

Can this state survive until then?

In the middle

March 29th, 2013
9:51 am

ooooooh the evil rich. Who cares, I guess my problem is I never spent my life drooling over what other people have and demanding the government take away stuff from other people and give it to me. I prefer to make it on my own.

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:51 am

The upside to a sales tax is that everybody contributes.

Everybody already contributes.

Doggone/GA

March 29th, 2013
9:52 am

“Merely eliminating the corporate income tax would shift $735 million in taxes onto consumers.”

Which we already pay. Companies don’t print their own money to pay their taxes, they figure them into the cost of the goods they sell…and it is the consumer who pays those taxes when they buy those goods.

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:52 am

ooooooh the evil rich. Who cares

You do.

Gale

March 29th, 2013
9:52 am

You have that right, Kamchak.

mm

March 29th, 2013
9:52 am

Here’ in FL, tourism is heavily taxed through hotels and such. This is why the sales tax in FL is 6%.

I don’t think GA has a whole lot of tourism.

Brosephus™

March 29th, 2013
9:53 am

How long until demographics take over and we can boot these psychopaths from office?

Not fast enough.

Can this state survive until then?

Given that the stoopids is increasing at a higher rate than the change in demographics, I doubt it.

The Sophist-icated Republican

March 29th, 2013
9:54 am

Come now, Jay. We all know that corporation are people too so they will also have to pay the “fair” tax. :lol:

Gale

March 29th, 2013
9:54 am

And do we expect that companies will lower their prices since they would no longer have to factor in income tax to the cost? I certainly do not expect that.

mm

March 29th, 2013
9:55 am

“Who cares, I guess my problem is I never spent my life drooling over what other people have and demanding the government take away stuff from other people and give it to me.”

Are you talking about corporations?

stands for decibels

March 29th, 2013
9:55 am

in the middle: the rich, they’re not “evil.”

They are simply in near complete control of things. It is foolish to imagine otherwise.

If you think that the governed should have little to no say in how they are governed, I guess you are ok with that status quo, which is super-distorted in states like Georgia although it is certainly, still, the law of the land in the United States.

I think that one person, one vote, ought to mean something. It’s not “one dollar, one vote,” last I checked.

barking frog

March 29th, 2013
9:55 am

Both Tennessee and Florida retain the income tax for corporations and/or
high earners.

Jm

March 29th, 2013
9:55 am

hallelieua

tax reform

maybe I can come back from FL. :)

N-GA

March 29th, 2013
9:56 am

I get it. Everyone pays….even those who cannot afford to pay. This may end up being a good thing. Workers leave Georgia and go to other states where taxes are lower. That will leave only wealthy people and illegal immigrants. Mission accomplished.

Kamchak ~ Thug from the Steppes

March 29th, 2013
9:56 am

I don’t think GA has a whole lot of tourism.

Well, there’s that go fish thingie our last governor came up with.

Soothsayer

March 29th, 2013
9:57 am

Well, if the Repugnuts can’t have their FairTax on a national level, at least they can have it in the reddest state in the union.

When dumbasses elect members of the elite and corporate servants, this is what they get. Of course, the dumbasses in Georgia will probably run up and down the street shouting whoop-eee, we done got our FairTax!

Hmmmm . . .

DebbieDoRight - What this country needs is more unemployed politicians

March 29th, 2013
9:58 am

I will never understand why anyone in the middle or lower income bracket would ever vote for a Republican.

You can fool some of the people……………..

Seriously, people think that this is some sort of an “all of sudden” plan that the conned just cooked up — but actually its not.

The original architect was Nixon, then came Lee At@water; then Karl Rove. They systemically created and fostered a perpetual “idiot class” by reinforcing stereotypes, playing up fears, downplaying education, sneering at science, and romancing religious zealots who fantasize about an American Theocracy.

By doing all of these things, they’ve created a perfect contingent of people who would gladly follow them over a cliff like good little lemmings.

By calling people who wish to have an education, “elitists” they’ve made there followers feel superior in their own ignorance.

This isn’t something that happened over night — this was a carefully thought out strategy that was instigated decades ago to set up an oligarchy. There are certain segments of the 1% who want to go back to the original framework of the Constitution, (Articles Of Confederation); where only the rich landowners had the right to vote and the unwashed masses were used as chattel.

N-GA

March 29th, 2013
9:58 am

It will be interesting to see what happens to businesses in towns located near state borders. Georgia residents will try to live in Georgia (no state income tax) and shop in the neighboring state.

Thomas

March 29th, 2013
9:59 am

Politicians and their slick marketing for dumb folks.

Affordable Care Act
Fair Tax
No Child Left Behind

code for “buy some vaseline because this is going to hurt….”

Soothsayer

March 29th, 2013
9:59 am

Oh, and Jay: compensate under #2.

Oscar

March 29th, 2013
9:59 am

Bad news. That is not the kind of news I want to see. Insanity gone amock. Sales taxe are the most regressive form of tax there is, and the most destructiveto economic growth. Abe Lincoln is rolling over in his grave.

Vote them out of office and repeal any such law that they may past next winter.

stands for decibels

March 29th, 2013
10:00 am

Anyway, I would love to hang ’round and listen to the fairy tales about magic beans that the Fair Taxer will claim are being sown, growing these awesome beanstalks that no other country has ever thought to grow, but I’ve already had this out with them, oh, about a hundred times, at least.

So, enjoy on your lonesomes.

(And tell Scratch It he still owes me to own up to his homophobic lie if he shows up. You’ll do that, won’t you?)

/drive-by

Redneck Convert (R--and proud of it)

March 29th, 2013
10:00 am

Well, I can’t hardly wait till the sales tax is 12%. When I buy something they can just hold me upside down and shake me till enough money falls out of my pocket.

But they better do it before they bend me over that table.

At least the Job Creators won’t have to pay that awful income tax. Why, they’ll use that extra money till each of us has to take 3 or 4 jobs just to keep the economy going. Course, there’ll be a 40 or 50 year start-up period, sorta like there is now with Trickle Down.

Yep, things is looking up. Have a good Friday everybody.

In the middle

March 29th, 2013
10:00 am

There is a huge difference between the “Fair Tax” and a sales tax. I would be 100% opposed to the “Fair Tax” as Boortz put it out.

Jm

March 29th, 2013
10:00 am

” those states must be booming, right? Wrong.”

Jay, you’re wrong on that. FL is hitting the ball out the park. It’s booming more than Atlanta was even during the halcyon development days in the mid-2000’s.

I can see it with my own two eyes.

New jobs / relocations by the 1000’s of jobs at a time. Growth apparent from extremely limited home inventory.

Things in FL or sunny and warm. And why does TN have 1/2 a dozen new auto plants, a thriving Nashville, while GA has one new piddly auto plant? Hmmmmm

Scratch It

March 29th, 2013
10:01 am

This will be great for Georgians. Just like dems always say. Everyone can pay their fair share….

Welcome to the Occupation

March 29th, 2013
10:01 am

“Fair” tax my ass.

One of the most pernicious, stinking Orwellian lies.

Matt321

March 29th, 2013
10:01 am

Where are the Democrats on this? Do we have a state party?

Stevie Ray

March 29th, 2013
10:02 am

In a way, this idiotcy mimics PelosiCare…alledged savings turns into costs turn into cost spiral turns into more economic calamity the opposite of what is intended..

We won’t get out of the national or state tax shortfalls without the middle class making some contribution. The suggest otherwise is wishful thinking.

Welcome to the Occupation

March 29th, 2013
10:02 am

Scratch it: “This will be great for Georgians. Just like dems always say. Everyone can pay their fair share….”

What’s your rough income range, out of curiosity. If you care to disclose.

Jm

March 29th, 2013
10:03 am

If GA would apply the sales tax to a broader set of services, there wouldn’t need to be any increase in the sales tax.

And with a healthy dose of higher education reform (which sucks up a huge portion of the state budget), things would be more sustainable.

0311/8541/5811/1811/1801

March 29th, 2013
10:03 am

Ah …………… it’s call “democracy” !

Soothsayer

March 29th, 2013
10:03 am

Hmmm . . . let’s see. If we take the Georgia sales tax of around 7% and add 5% (or more) that’s 12 percent.

Now, to that add the 30% FairTax. Wow, that’s nearly 45% taxes on any purchase.

Sounds like a smart plan to me!

FrankLeeDarling

March 29th, 2013
10:04 am

Only if they raise minimum wage to 28$/hr

Tax rent? What a bunch of nozzles

In the middle

March 29th, 2013
10:04 am

30%, where was that mentioned?

Oscar

March 29th, 2013
10:05 am

The GOP wants to go back to 1790. No income tax and very little government. Who really needs food inspections and pesky litle things like that. The market will sort it out. (sarcasm)

liberal hack

March 29th, 2013
10:05 am

so jay, I have a,question? what is the rate of growth, income wise and people wise in states like new York, illinois, California. These states are liberal in governmental policy. How are they doing?

Ronald Reagan Parkway

March 29th, 2013
10:06 am

This is the price that the state of Georgia is paying for electing an ALL Republican administration. You get what you vote for in Georgia. During the next election, maybe people will think twice before they vote any straight ticket. Republican control is setting this state back to the 1950’s!

In the middle

March 29th, 2013
10:06 am

Obvously it is not about going back to the 1790. that would be silly, I don’t even own a horse (Keep you snarky comments to yourselves I can hear them now)

Dunwoody Granny

March 29th, 2013
10:07 am

It also makes it much harder to deduct state taxes from your federal income taxes, essentially raising the federal tax. Maybe if more states do this, it will solve the federal budget deficit! :-)

In the middle

March 29th, 2013
10:07 am

Back to the 1950’s, you mean when Democrats controlled the state of Georgia..

Mary Elizabeth

March 29th, 2013
10:08 am

Brosephus™, 9:49 am

“Why Georgia politicians can’t seem to stop screwing this state up is beyond me.”
=====================================================

Georgia Legislators with ALEC Ties

House of Representatives
Rep. Kathy Ashe (D-24) [1]
Rep. Mark Hatfield (R-177)[2]
Rep. Calvin Hill, Jr. (R-21), State Chairman,[3][4] Communications and Technology Task Force[5] and International Relations Task Force member[6] and recipient of ALEC’s 2011 State Chair of the Year Award[7]
Rep. Don L. Parsons (R-42); Communications and Technology Task Force[8]
Rep. David Casas (R-103); Education Task Force[9]
Rep. Doug Collins (R-27); Civil Justice Task Force Member [10] (won election for U.S. House GA District 9 in November 2012)
Rep. Edward H. Lindsey, Jr. (R-54); Civil Justice Task Force [11]
Rep. Ed Setzler (R-35); Tax and Fiscal Policy Task Force [12]
Rep. Larry E. O’Neal (R-146); Tax and Fiscal Policy Task Force[13]
Rep. Sharon Cooper (R-41)[3]; Health and Human Services Task Force[14]
Rep. Earl Ehrhart (R-36), former member of ALEC Board of Directors and ALEC State Chair[15]
Rep. Ben L. Harbin (R-118); International Relations Task Force[16]
Rep. Gerald E. Greene (R-149); International Relations Task Force[17]
Rep. Josh S. Clark (R-98); International Relations Task Force[18]
Rep. Jack Murphy (R-27); Public Safety and Elections Task Force [19]
Rep. Mark D. Hamilton (R-23); Public Safety and Elections Task Force[20]
Rep. Tom R. Rice (R-51)[3]; Public Safety and Elections Task Force [19]
Rep. Donna Sheldon (R-105)[3]; Health and Human Services Task Force[21]
Rep. Judy Manning (R-32); Health and Human Services Task Force[22]
Rep. Lynn Smith (R-70); Energy, Environment and Agriculture Task Force[23]
Rep. Howard R. Maxwell (R-17); Education Task Force[24]
Rep. Jan Jones (R-46); Education Task Force[25]
Rep. Charles E. Martin, Jr. (R-47); Commerce, Insurance and Economic Development Task Force[26]
Rep. Kip Smith (R-129); Commerce, Insurance and Economic Development Task Force [27] (lost the primary election in July 2012)
Rep. James W. Mills (R-25)[3]; Commerce, Insurance and Economic Development Task Force[28]
Rep. Mike Dudgeon (R-24); Education Task Force[29]
Rep. Carl Rogers (R-26); Energy, Environment and Agriculture Task Force[30]
Rep. Terry England (R-108); Energy, Environment and Agriculture Task Force[31]
Rep. Paulette Rakestraw-Braddock (R-19); International Relations Task Force[32]
Rep. Billy S. Horne (R-71); Public Safety and Elections Task Force [19] (did not run for reelection in 2012)
Rep. Kevin Cooke (R-18); Public Safety and Elections Task Force [19]
Rep. Lynne Riley (R-50); Tax and Fiscal Policy Task Force [12]
Rep. Buzz Brockway (R-101); Communications and Technology Task Force[33]
Rep. Barry D. Loudermilk (R-14); Communications and Technology Task Force[34]
Rep. Amos Amerson (R-9)[3] (did not run for reelection in 2012)
Rep. John Meadows (R-5)[3]
Rep. James Mills (R-25)[3]

Senate
Sen. Chip Pearson (R-51)[35]
Former Sen. John Wiles (R-37), former State Chairman[36]
Sen. Don Balfour (R-9) [37]
Sen. Jesse Stone (R-23); Civil Justice Task Force[38]
Sen. William Hamrick (R-30); Civil Justice Task Force [39]
Sen. Renee Unterman (R-45)[3]; Health and Human Services Task Force[40]
Sen. Judson Hill (R-32)[3]; Health and Human Services Task Force[41]
Sen. Ross Tolleson (R-20); Energy, Environment and Agriculture Task Force[42]
Sen. Fran R. Millar (R-79); Education Task Force[43]
Sen. John E. Albers (R-56); Communications and Technology Task Force[44]
Sen. Nan G. Orrock (D-36); Communications and Technology Task Force[45] – Sen. Orrock announced she was cutting ties with and denounced ALEC on April 17, 2012.[46] See Legislators Who Have Cut Ties to ALEC for more.
Sen. Bill Heath (R-31); Tax and Fiscal Policy Task Force[47]
Sen. Jack Hill (R-4); Commerce, Insurance and Economic Development Task Force[48]
Sen. Steve Gooch (R-51); Commerce, Insurance and Economic Development Task Force[49]
Sen. Greg Goggans (R-7); Education Task Force[50] (did not run for reelection in 2012)
Sen. Cecil P. Staton (R-18)[3]; International Relations Task Force[51]
Sen. Ronnie W. Chance (R-16); International Relations Task Force[52]
Sen. Johnny Grant (R-25); Public Safety and Elections Task Force [19] (lost the primary election in July 2012)
Sen. Lee Hawkins (R-49)[3]

http://www.sourcewatch.org/index.php/Georgia_ALEC_Politicians

Oscar

March 29th, 2013
10:08 am

Sales taxes could be acceptable if hey exclude taxes on clothes, food, shelter, medicine, autos under $20,000 and other things that low income people have to have. Tax the luxury items as Lincoln suggested.

Soothsayer

March 29th, 2013
10:08 am

There is a particular class of Georgians who already don’t pay any income tax who will be especially hard-hit by this. And that class is Seniors. Because of Georgia’s wa-a-a-a-y generous retirement exclusion, most don’t pay any state taxes anyway. How are they going to react — given that they are now going to have pay much more for the necessities — when they learn about this?

Kamchak ~ Thug from the Steppes

March 29th, 2013
10:08 am

Back to the 1950’s, you mean when Democrats conservatives still controlled the state of Georgia..

Scratch It

March 29th, 2013
10:09 am

Welcome to the Occupation

Scratch it: “This will be great for Georgians. Just like dems always say. Everyone can pay their fair share….”

What’s your rough income range, out of curiosity. If you care to disclose.

As a family its six figures…

Oscar

March 29th, 2013
10:09 am

In the middle – i can get you a good horse cheap. No worries.

Mr Right

March 29th, 2013
10:10 am

As Obama says “Every body drives on our roads”.

DebbieDoRight - What this country needs is more unemployed politicians

March 29th, 2013
10:11 am

code for “buy some vaseline because this is going to hurt….”

:lol: :lol: :lol:

Scratch It

March 29th, 2013
10:11 am

Matt321

Where are the Democrats on this? Do we have a state party?

Georgia is a bright red state. The dem party is irrelevant here…

Stevie Ray

March 29th, 2013
10:12 am

JAY

Have you taken time to understand what modeling was done for PelosiCare? This is why the early numbers suggest 32% increase in loss costs..The static modeling done for this crap bill was done on static basis..meaning not considering real world impacts in terms of many, many other variables. Without which, we get, just after a couple years, increased claims cost estimated at 30+%…

Static analysis is a lazy man’s effort…not attempting to account for real world variables is arguable malpractice..making decisions on unrealistic foundations..in other words, telling yourself what you want to hear…politically..

http://misunderstoodfinance.blogspot.com/2010/03/obamacare-highlights-weaknesses-of-cbo.html

Kamchak ~ Thug from the Steppes

March 29th, 2013
10:12 am

In the middle – i can get you a good horse cheap.

Ground, frozen and in a nice tomato sauce with mozzarella cheese and lasagne noodles.

In the middle

March 29th, 2013
10:13 am

Patrick

March 29th, 2013
10:13 am

We have a state Rep. named “Buzz Brockway”???

Come on Jay!! You’ve gotta be pulling an early April Fool’s joke on us!

liberal hack

March 29th, 2013
10:13 am

Bro, south Carolina wants to go full scale into the fair tax.

Hoof Hearted

March 29th, 2013
10:13 am

I want to hear one of these genius fair-taxers (fairy-taxers?) explain something to me. They say that raising taxes stifles economic growth. So, they propose raising taxes on consumption IN A CONSUMER ECONOMY. How is that going to stimulate our economy? I suppose they think people are going to rush out and spend that extra $50.00 from their paycheck on consumer goods, and pay $11.00 back in taxes. How is that going to raise enough revenue to run the government (I know, I know–they don’t care about that)? Oh yeah, all those rich, self-made, captains of industry, flush with all of the extra cash from not having to pay Georgia’s 6% income tax (highest marginal rate), will return all that capital to the “market” and the economy, creating a free market wonderland right here in Georgia. When corporations and the wealthiest 1% can make record profits then surely they will trickle down all over us. Wait, hasn’t that already been happening? Oh, I’m sorry; I’ve let facts interrupt this argument.

Anyway, I wonder what will happen to Georgia’s consumer economy if this consumption tax is increased? At least the economy won’t completely crash, because we all have to eat (at least those of us who can afford it).

DebbieDoRight - What this country needs is more unemployed politicians

March 29th, 2013
10:14 am

Back to the 1950’s, you mean when Democrats controlled the state of Georgia..

Yesterday’s Democrats are Today’s republicans.

Can you say SonnyDo?

Brosephus™

March 29th, 2013
10:15 am

Enter your comments here

Kamchak ~ Thug from the Steppes

March 29th, 2013
10:15 am

We have a state Rep. named “Buzz Brockway”?

Sounds like a porn star’s name.

JamVet

March 29th, 2013
10:15 am

TRICKLE DOWN LIVES!!!

When asked about that massive shift in tax burden this week, Kirby brushed it aside, asserting that greater prosperity would more than compenasate for higher taxes on the non-wealthy.

This is the exact same argument that the Reagen idiots used to justify crushing the working class family.

Georgia lags behind MANY states in any sort of economic recovery, and has for years now. But now presto, chango! They are going to roar right to the front?

Puhleeze. These neocon nimrods in Atlanta couldn’t manage a lemonade stand to make a profit…

FrankLeeDarling

March 29th, 2013
10:16 am

Well the up side to this could be that labor will have no choice but to organize.
Wages will have to increase for this to work.

0311/8541/5811/1811/1801

March 29th, 2013
10:17 am

” ‘Time has come’: N. Korea readies rockets”

Why don’t we invite him to Disney World ?

DannyX

March 29th, 2013
10:18 am

“Can you say SonnyDo?”

I call your SonnyDo, and raise you a Shady Deal.

Stevie Ray

March 29th, 2013
10:18 am

liberal hack

March 29th, 2013
9:46 am

Exactly…all the liberals here run with everything Jay posts without considering any variables other than what Jay sez….not very logical or scientific.

If such a consumption tax is passed without exemptions as you suggest we all need to boycott those dumbarses downtown..

Brosephus™

March 29th, 2013
10:18 am

Oops… :oops:

ME @ 10:08

Wouldn’t it be easier to just list those without ALEC influence? :lol: :lol: :lol: :lol:

————————-

liberal hack @ 10:13

People in Augusta, Savannah, and other areas along that border are FUBAR!!! I can do my shopping when I go home to Alabama. Montgomery has a 10% sales tax, and that will probably still be cheaper than shopping in Georgia if this crap goes through.

Whatever

March 29th, 2013
10:19 am

I would be all for a Fairtax if it:

Did not tax necessities OR somehow gave rebates to the poor so their necessities were not taxed.

I love the idea of a consumption tax but it should not be a burden on the poor.

Scratch It

March 29th, 2013
10:20 am

The 9 states that have no income tax and the 2 with limits seem to be doing quite well….

Brosephus™

March 29th, 2013
10:21 am

Exactly…all the liberals here run with everything Jay posts without considering any variables other than what Jay sez….not very logical or scientific.

If such a consumption tax is passed without exemptions as you suggest we all need to boycott those dumbarses downtown..

Given the track record of those dumbasses downtown, who would you bet your money on? You have Jay and those liberals vs people who can’t even pass simple ethics legislation.

Thomas Heyward Jr

March 29th, 2013
10:21 am

“Georgia’s battered budget would suffer even more whacks with a meat ax.”
.
Will it be as bad as those “draconian” sequester cuts?………..that really never happened.
No WhiteHouse tours and Easter egg hunts?
.
Oh the humanity.
.
lol

Scratch It

March 29th, 2013
10:21 am

Oh except for Nevada. Wonder why…

Redneck Convert (R--and proud of it)

March 29th, 2013
10:21 am

Bro, south Carolina wants to go full scale into the fair tax.

Y’know, if we work at this hard enough, we might could force all the libruls to move north and take Those People with them.

Stevie Ray

March 29th, 2013
10:21 am

BRO

What does that term enter comments here mean? It took me long enough to get the whole change the sheez thingy..??

MarkSmith1

March 29th, 2013
10:21 am

This is an attack on the middle class and the poor. If you spend all your money to survive, you are taxed on all your money. If you are rich enough to have money to save, that money is never taxed. The republicans take from the poor and give to the rich, anyway which they can.

In the middle

March 29th, 2013
10:23 am

I pay about $500 a month is GA state income tax. Quite frankly a sales tax instead of an income tax would be nothing but an upside for me.. The equivilant sales tax (@ 3%) would require me to spend over 16000 in a month to pay the same amount. (a bit more than I even make)

Brosephus™

March 29th, 2013
10:23 am

I love the idea of a consumption tax but it should not be a burden on the poor.

Given that the poor spend 100% of their income, how could a consumption tax NOT burden them? That’s gonna be one hell of an exemption to carve out.

In the middle

March 29th, 2013
10:23 am

P.S. I am middle class

PMC

March 29th, 2013
10:23 am

Tennessee, Florida and Texas have no state income tax. It’s not like this is unprecedented.

I think this is a bit of an overreaction Jay.

Scratch It

March 29th, 2013
10:24 am

And Washington state is not to good either economically… Seems Nevada and Washington state have something in common but I can’t find it. Can someone help me?

TBS

March 29th, 2013
10:24 am

This type of column will surely bring out the ARGs… Ayn Rand Groupies

At least the representative admitted that the burden will shift taxes to the middle and lower income levels. I don’t agree with his premise but he did admit the obvious.

That is much more than I’ve ever heard Boortz or Cain admit.

Brosephus™

March 29th, 2013
10:24 am

What does that term enter comments here mean? It took me long enough to get the whole change the sheez thingy..??

That means I hit the “enter” key by accident before typing my comments. :lol:

Hoof Hearted

March 29th, 2013
10:25 am

Scratch,

Have any of those 9 states (there’s actually only 7) gone to a “fair tax?” Uh, no. Do any of those 9 states (again, actually only 7) have taxes on corporate incomes (yes, they ALL do, in one form or another)? http://en.wikipedia.org/wiki/State_income_tax