Alabama's Republican Governor Attempts to Reform Tax Code


I cannot believe I'm supporting a Republican. But this guy is doing more than most Democrats when it comes to progressive taxation, and might actually be able to get away with it because he's a Republican. Governor Bob Riley is actually trying to get Alabamians in a statewide referendum to vote to amend the state constitution to make state taxes more progressive, fund education fully, and increase the number of state troopers. From the Washington Post:

The born-again Baptist governor is telling voters in this Bible Belt state that their tax system, which imposes an effective rate of 3 percent on the wealthiest Alabamians and 12 percent on the poorest, is "immoral" and needs repair. "When I read the New Testament, there are three things we're asked to do: That's love God, love each other and take care of the least among us," Riley said in his office in the antebellum state Capitol.

This tax reform will either reduce the taxes paid, or keep them about the same, for two-thirds of Alabamians. So, how do people feel about it? Apparently they're against it 70 percent to 30 percent. Why?

Somewhat paradoxically, polls show the strongest opposition is among black voters, who make up about a fourth of the electorate, and people with incomes under $30,000 -- the very Alabamians who would receive the largest tax cuts. Riley and his emissaries are campaigning hard among black voters, who opposed him overwhelmingly in November. He is encountering distrust embedded in Alabama history.

(snip)

Riley's opponents also have targeted black voters, airing a radio ad on stations with mostly black audiences featuring a man with poor diction warning, "Our property taxes could go up as much as fo' hundred percent," and blaming "Montgomery insiders who have been ignorin' us for years." The ad was paid for by a political action committee whose top contributors are the state's largest bank, a leading insurance company, two timber and paper companies and county farmers federations -- all of which supported Riley last November. The state farmers federation also controls the insurance company, which would lose a large tax break that gives it an advantage over other insurers.

From this we see the usual suspects, those who have money are willing to spend it to bullshit the people who this would help, getting them to vote against their own interest. I've seen this in national politics, and I've seen this in state politics in both Tennessee and Virginia. When Tennessee was talking about getting an income tax recently, people came out in droves against it. The fact that most of them wouldn't pay as much taxes if there was an income tax was incomprehensible to them. They didn't believe it. They were against taxes. Didn't want more taxes.

Here's what the Post reported as the reaction of some Alabamians:

"NO!" screamed Keith Crockett, a salesman for a towing company near Birmingham, when a reporter mentioned Riley's tax proposal. "No more taxes!" Eddie King, an equipment business manager, proclaimed Riley's proposal "unbelievable" with so many jobs in peril. "Raising taxes is never the answer," he said.

I recognize that often people vote based on their aspirations rather than on their current situation. But, people, get a grip! You may genuinely think, as a survey reported in 2000, that 20 percent of you are in the top one percent of income, and another 20 percent thought they would get there one day. It isn't going to happen unless we also say that all the children are above average. And I can't believe that a towing company salesman is in the top one-third of Alabama income. Likewise, I have a hard time seeingor an equipment business manager is in the top one-third too.

Why is it easy to lie to people, and get them to believe you, that any changes to the taxes is bad and costs them more? Why is it so damned hard to go back and tell these people the truth, and get them to believe you, that they won't pay as much? And why do they get mad when you show them numbers proving that?

In the meantime, three cheers for Governor Riley. Three cheers to the Alabama Baptist Convention, whose newsletter editor endorsed the tax reform, saying "The Bible is clear that 'to whom much is given, much is required.' " And a big "UP YOURS" for Grover Norquist and Americans for Tax "Reform", who only want taxes reformed if they cut them for the rich.

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