Posted by
pbylsma on Wednesday, May 14, 2008 10:13:11 AM
A May 6, 2008 editorial in the LA Times shocked me: I could
not believe I agreed with some of it.
Yea! Let’s tax the lawyers!
Yep, that's what they said. I love it.
Which do people like less, I wonder: lawyers or taxes? This may be one of the only comparisons in
which lawyers come out ahead! Talk about windfall profits, they know about
that. Holy moly, the City should
immediately institute a tax on the money won by the lawyer of the Tennie Pearce
case so we can get back some of the money our city blew on it.
Yea! Let’s tax the lawyers!
It is their windfall profits demagoguery come home, it is
the class hatred stirred up by the Left coming back to haunt them. I rant about Big Union and Big Lawyer
(especially relative to the MSM and Left’s constant demonizing of Big Pharma
and Big Tobacco), and if things are to be equal, as the left wants, then in
this case we might actually agree on something.
The editorial, Service Taxes Just Might
Work, discusses a
service tax which in several other states routinely generates revenues from taxing
sales of services such as car repairs and health club memberships. Service
taxes are drawing new attention here because of the budget shortfall of $20
billion or more. Deep budget cuts certainly won't be enough. Finding enough
savings from closing special-interest tax loopholes is not going to work. The
state needs revenue.
I hate taxes, but in this case I agree with some in the
governor's administration who are focusing on a sales tax on lawyers and
accountants. Taxing even some services
the same way the state taxes goods would be a step toward a more rational and
equitable system.
Yea! Let’s tax the lawyers!
They are also looking at taxes on tickets to sporting
events, movies, amusement parks and golf courses. But I ask you dear reader, where is most of
the money and profit being made in this state?
Yea! Let’s tax the lawyers!
California's economy has boomed over
the decades, with much of the growth in services. The state once relied on
sales taxes to supply most of its revenue, but now taxes on sales of hard goods
represent a diminishing slice of the money the state needs. As the state's
service economy grows along with its population and its expenses, its tax
revenue is left behind.
Here is where the Times actually made
sense: “Applying the state's current 7.25% sales tax (8.25% in Los Angeles,
higher in some other cities and counties) to services across the board makes
sense. Imagine the fellow who runs a small car repair garage who juggles schedules
to make a living. Will he have to hire an accountant to properly tax his
customers? The real question is whether or
not he will bother? New paperwork requirements could sap strength from
California's economy at just the time it needs a boost. But one thing is certain: lawyers already
have the number crunchers on staff to make sure the state gets its cut.
I wish this could be a ballot initiative as soon as possible. I can only
imagine what our Lawyer-controlled legislature is going to do with this idea.
Oh well, it sure sounded good.