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California Facing More Tax Hikes

If you want to see if socialism works, if social justice is a valid societal pursuit, you need look no further than California for the answer. What Barack Obama is implementing across the rest of the country is already entrenched in California, and the results speak for themselves.

It didn’t take a genius to figure out that when California legislators papered over the massive budget deficit last year that it would just pop up later on, just as big, just as bad. Well, it’s now later on, and California is looking at a $16 billion budget gap for the upcoming fiscal year. Try and wrap your mind around that number. After spending nearly $200 billion dollars-you saw that right, California is still short $16 billion. How could a single state manage to spend that kind of money and have it still not be enough? Well, we can start with exactly how much the state spends. Not even they know for sure. It’s in the area of $200 billion + though. Not knowing how much you need to have from year to year is a recipe for disaster, and California is proof of that.

Instead of whittling down the ridiculous amount of untenable spending, governor Jerry Brown has called for tax hikes in order to continue California’s slog in the gutter. Without them he warns, painful cuts abound for everybody.

Of course, like true politicians, the first things on the table are education, healthcare, and safety. Schools, medicine and cops are the first things on the chopping block. For California though, those aren’t the things that are the problem. It’s the leeches that have attached themselves to those institutions. If you want to know what unions could do to the United States, get a load of California. Legally binding contracts have union members living the high life, courtesy the California taxpayer. There’s only one problem though: The money isn’t there. For the unions, it doesn’t matter. A deal’s a deal, and California better not default.

Brown’s plan is to raise taxes on those making more than $250,000 a year. Sound familiar? It should, because that’s exactly Barack Obama’s plan for the rest of the country. In California, the tax hike would put the so-called rich into a 13+ percent tax bracket, the highest in the nation. With a dwindling tax base and growing entitlement state, this plan is doomed to fail.

It’s crazy, it’s insane-what state could possibly be stupid enough to actually keep this kind of failed ideology alive? The behemoth government taxing-and regulating for that matter is a proven failure, but if you happen to be the one getting government supplied freebies, or are sympathetic to those that are in line for a little social justice, then damn the consequences, redistribute like there’s no tomorrow.

However transparent Brown’s maneuver, polls show all the furor might actually drive acceptance of Brown’s tax proposal on the November ballot. Brown wants to combine a four-year, quarter-cent-per dollar increase in state sales tax with a seven-year surtax of 1-3 percent on Californians making more than $250,000. A recent Public Policy Institute of California poll showed 54 percent of Californians support the measure.

At the rate California is declining, there may not be a tomorrow. Of course, if Brown had his way, nobody would have their own money. The government would dole out a stipend for everybody. He’s on record. He never was clear on where that free money would come from.

So here in California, even the non-rich are looking at a sales tax increase and at the same time an expiration of the so-called Bush tax cuts on a federal level. The double whammy. I had visions of crates of tea going over the side, but not here, not California. This is what they want, and they’ll probably get it.

8 comments to California Facing More Tax Hikes

  • It’s frustrating that the only solution liberals can come up with is to tax everything that moves. Are they so naive that they believe this will actually work?

  • Many saw the writing on the wall a few years ago and moved to Arizona. California wanted Jerry, well they got everything along with Jerry. Why is it so difficult to cut back? A little here and a little there adds up. It’s like these jokers who really believe that they tax those that bail from the US after they leave the country.

    • Companies are filing out of the state, as are individuals, but it’s not that easy just to pick up and leave everything and everyone you know and just start a life elsewhere. There’s a saturation point though, and I’m getting very close to that.

  • As the taxes rise and businesses and people leave the government will look to raise even more taxes to make up the difference. This of course will result in more defections. It is a vicious circle you are stuck in over there and until these politicians realize that the tax and spend policies are what is actually leading to less revenue nothing will change.There is a lesson to be learned in California, I just hope the people are watching.

    • California may have entangled themselves in a mess that nobody could extract from. We can blame politicians and the citizens for destroying a once vibrant economy.

  • I’m betting this will fail to solve California’s problem. It would be disastrous for the rest of the country if it were siccessful.

    • Of course it will fail. This will kick the can down the road and will be somebody else’s mess in a few years. Only it will be worse by then.

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