Representative Don Humason



TAXACHUSETTS AGAIN? By State Representative Don Humason, Jr. April 12, 2008 Next Tuesday is April 15th, tax day. This week the House debated a huge tax increase bill. We all can agree that taxes are what we pay to our local, state, and federal governments to live in a civil society with a good quality of life. But how much is too much when it comes to taxes? How much should government take from individuals, businesses, and corporations to pay for government programs? 10 percent? 25 percent? 50 percent? Every year Tax Freedom Day, the date when the average American is finished paying his share of his local, state, and federal taxes and can then begin to save or spend the balance of his income on whatever he wants to, comes later and later. That date falls sometime during June, the sixth month of the year. That means a person now works nearly half a year before they begin to earn for themselves instead of for government. Massachusetts once had the nickname “Taxachusetts.” Whether it was deserved or not, and I think it may have been, the perception was that Bay Staters paid too much in state and local taxes. As a Republican, and a fiscal conservative, I believe that tax cuts spur economic growth by giving the people back their money so they may spend, save, or invest it as they may. The taxpayer advocacy group Citizens for Limited Taxation and Government has a saying: “Every tax cut is a pay raise.” Clearly the members of Congress and President Bush feel that way. Federal stimulus checks are coming soon. In this column a few weeks ago I wrote about my belief that government has to get back to a “Kitchen Table Mentality” where it does what most citizens do when budgeting and paying their bills. Prioritize! Stop spending money it doesn’t have. It needs to wean itself of annual budget increases in the face of a cooling economy and possible recession. There was a lot of talk this week in the House of Representatives about a “revenue enhancement package” (if you’re a Democrat) or “tax increases” (if you’re a Republican). Despite the fact that the Commonwealth has taken in nearly a billion dollars more this year than last year the Majority Party leadership seems hell bent on raising cigarette taxes and going after Massachusetts corporations. Last I checked, the unemployment rate was creeping up both nationally and locally. Aren’t those “evil” corporations we want to raise taxes on the same businesses that produce the goods we buy and employ the people in our lives? I’ve never been a smoker, and I don’t like smoking, but each time we raise the tax on cigarettes we drive smokers out of the state. They go to New Hampshire, where they can buy a carton of cigarettes at half the price they can in Massachusetts. While they’re in New Hampshire they also go out to eat, they buy liquor and food, they fuel up, and they purchase NH lottery tickets. Every action deprives Massachusetts of the revenue we would have collected if the smokers stayed here. As the House debated the tax package, I was engaged in some fierce lobbying on behalf of Barnes Airport and aviation-related businesses across the state. As Chairman of the Legislature’s Aviation Caucus, my members and I lobbied leadership against including their proposal to repeal a recent and hard earned exemption on the sales tax on aircraft and parts in Massachusetts. I wrote a 4 page letter and sent it to everybody in the State House. We were successful. The Leadership pulled it from the tax package we debated, but warned it would be back later this month during the House budg et debate. A repeal of the exemption would mean the Bay State would be the only Northeast state with a 5% sales tax on aircraft and parts. Since Massachusetts already has the highest aviation fuel excise taxes of any surrounding state this move would immediately make us the most expensive state for aircraft-related businesses. When you own a plane, it’s easy to fly right over our tiny state on the way to one more friendly to your aviation-related business. My colleagues say “There’s never a good time to raise taxes” but I can surely tell you there’s a bad time to do it: Right now, when our economy is on the brink. People are nervous about losing their jobs; afraid they won’t be able to afford the increases in their oil bill, their grocery bill, or the cost of filling their cars at the gas pump. Nothing soothes those fears like raising their taxes! Sound crazy? I agree. Representative Don Humason and his legislative aide Sarah Latour may be reached at their Westfield District office, 64 Noble Street, Westfield, MA 01085, 568-1366. Their Boston address is State House Room 542, Boston, MA 02133, (617) 722-2803. Email address: Rep.DonaldHumason@Hou.state.ma.us Website: www.DonHumason.org
This Site Designed and Maintained by: The Barre Group

TAXACHUSETTS AGAIN?

By State Representative Don Humason, Jr.

April 12, 2008

Next Tuesday is April 15th, tax day.

This week the House debated a huge tax increase bill. We all can agree that taxes are what we pay to our local, state, and federal governments to live in a civil society with a good quality of life.

But how much is too much when it comes to taxes? How much should government take from individuals, businesses, and corporations to pay for government programs?
10 percent? 25 percent? 50 percent?

Every year Tax Freedom Day, the date when the average American is finished paying his share of his local, state, and federal taxes and can then begin to save or spend the balance of his income on whatever he wants to, comes later and later. That date falls sometime during June, the sixth month of the year. That means a person now works nearly half a year before they begin to earn for themselves instead of for government.

Massachusetts once had the nickname “Taxachusetts.” Whether it was deserved or not, and I think it may have been, the perception was that Bay Staters paid too much in state and local taxes.

As a Republican, and a fiscal conservative, I believe that tax cuts spur economic growth by giving the people back their money so they may spend, save, or invest it as they may. The taxpayer advocacy group Citizens for Limited Taxation and Government has a saying: “Every tax cut is a pay raise.” Clearly the members of Congress and President Bush feel that way. Federal stimulus checks are coming soon.

In this column a few weeks ago I wrote about my belief that government has to get back to a “Kitchen Table Mentality” where it does what most citizens do when budgeting and paying their bills. Prioritize! Stop spending money it doesn’t have. It needs to wean itself of annual budget increases in the face of a cooling economy and possible recession.

There was a lot of talk this week in the House of Representatives about a “revenue enhancement package” (if you’re a Democrat) or “tax increases” (if you’re a Republican). Despite the fact that the Commonwealth has taken in nearly a billion dollars more this year than last year the Majority Party leadership seems hell bent on raising cigarette taxes and going after Massachusetts corporations.

Last I checked, the unemployment rate was creeping up both nationally and locally. Aren’t those “evil” corporations we want to raise taxes on the same businesses that produce the goods we buy and employ the people in our lives?

I’ve never been a smoker, and I don’t like smoking, but each time we raise the tax on cigarettes we drive smokers out of the state. They go to New Hampshire, where they can buy a carton of cigarettes at half the price they can in Massachusetts. While they’re in New Hampshire they also go out to eat, they buy liquor and food, they fuel up, and they purchase NH lottery tickets. Every action deprives Massachusetts of the revenue we would have collected if the smokers stayed here.

As the House debated the tax package, I was engaged in some fierce lobbying on behalf of Barnes Airport and aviation-related businesses across the state. As Chairman of the Legislature’s Aviation Caucus, my members and I lobbied leadership against including their proposal to repeal a recent and hard earned exemption on the sales tax on aircraft and parts in Massachusetts. I wrote a 4 page letter and sent it to everybody in the State House. We were successful. The Leadership pulled it from the tax package we debated, but warned it would be back later this month during the House budg et debate.

A repeal of the exemption would mean the Bay State would be the only Northeast state with a 5% sales tax on aircraft and parts. Since Massachusetts already has the highest aviation fuel excise taxes of any surrounding state this move would immediately make us the most expensive state for aircraft-related businesses. When you own a plane, it’s easy to fly right over our tiny state on the way to one more friendly to your aviation-related business.

My colleagues say “There’s never a good time to raise taxes” but I can surely tell you there’s a bad time to do it: Right now, when our economy is on the brink.

People are nervous about losing their jobs; afraid they won’t be able to afford the increases in their oil bill, their grocery bill, or the cost of filling their cars at the gas pump. Nothing soothes those fears like raising their taxes! Sound crazy? I agree.

Representative Don Humason and his legislative aide Sarah Latour may be reached at their Westfield District office, 64 Noble Street, Westfield, MA 01085, 568-1366.

Their Boston address is State House Room 542, Boston, MA 02133, (617) 722-2803.
Email address: Rep.DonaldHumason@Hou.state.ma.us

Website: www.DonHumason.org

This Site Designed and Maintained by: The Barre Group