California Republicans Fight to Keep Tax Free

[IronGhost]

Otherwise Bipartisan Day Dealing with California’s Budget Crisis

By Frank D. Russo

California legislative Democrats and Republicans joined in today and passed by large margins painful cuts in state spending to turn a $3.7 billion hole in this fiscal year’s spending ending in June into what may be a $1 billion reserve. Laws that require payments in health and human services, and in other areas were also revised that will reduce the problems for the next fiscal year from a deficit of about $15 billion to about 7 or 8 billion dollars.

SNIP

The California Senate passed a repeal of a loophole that allows the multimillionaire purchasers of yachts and private planes from paying a sales or use tax. It passed 28 to 10—by just one vote above the minimum 27 votes—two-thirds of the 40 member body needed—with some Republican support. It failed in the Assembly, and will be coming up for a vote again next week.

This issue involves only $5 million of revenues for the current fiscal year—because it is nearly over. And it will help the state to collect $21 million in the 2008-09 year and an additional $11.8 million for cash strapped local governments who are being asked to share in cuts from the state and need the money. Still not a huge amount of money compared to what’s needed to plug the deficit and keep the state afloat.

But the debate on this, and the opposition of most elected Republicans to it is very telling. Mind you, this is a loophole that Republican Governor Schwarzenegger proposed be plugged in calling the legislature into an emergency session.

SNIP

The tax battle over yachts and private airplanes has been fought for years and we’ve had this loophole eliminated only to see it revived.

http://www.californiaprogressreport.com/20...re_to_repe.html

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I guess it's just about all Republicans fighting hard to keep millionaires from having to pay taxes on yachts and private planes -- this while CA is in a severe budget crisis.

[AROCES]

I guess it's just about all Republicans fighting hard to keep millionaires from having to pay taxes on yachts and private planes -- this while CA is in a severe budget crisis.

Nope, it is about keeping the Yatch and Airplane industry afloat and not having them go into welfare instead.

[questionmark]

Right, that is the way to operate... and besides that I want them to privatize gains, socialize losses and get rid of the gangs. Then I am moving to Catalina.

[AROCES]

Right, that is the way to operate... and besides that I want them to privatize gains, socialize losses and get rid of the gangs. Then I am moving to Catalina.

Via boat or airplane?

Edited March 21, 2008 by AROCES

[IronGhost]

If you're some poor working class slob in California making $25,000 a year and you buy a car or a row boat, you pay taxes on it.

If you are a multimillionaire, and you buy a yacht or a Lear Jet -- it's tax free, my friend!

All those icky tax things are for the underclasses.

[questionmark]

All those icky tax things are for the underclasses.

Oh, I find that inversed Robin Hood principle were good: Take from the poor and give to the Rich(makes sense 'cause there are more poor than rich) ... Yo Arnie here is my bank account: 567391`11991

[IronGhost]

Oh, I find that inversed Robin Hood principle were good: Take from the poor and give to the Rich(makes sense 'cause there are more poor than rich) ... Yo Arnie here is my bank account: 567391`11991

Right. I have another suggestion. Perhaps the California Legislature could make statewide cuts in education -- they could layoff, say, 20,000 school teachers. This would save more than enough money to fill the gap -- the millionaires and billionaires could keep enjoying their tax-free yachts and private jets --and the teacher layoffs could pay for it.

[questionmark]

Right. I have another suggestion. Perhaps the California Legislature could make statewide cuts in education -- they could layoff, say, 20,000 school teachers. This would save more than enough money to fill the gap -- the millionaires and billionaires could keep enjoying their tax-free yachts and private jets --and the teacher layoffs could pay for it.

Hey, you are creative... laying off the police force in downtown LA and Fresno, while doubling it in Beverly Hills and Catalina... should increase the distance from the rabble....