MA: Mideast Budget 2012 (Statute)

[Gass3268]

What we need is a more progressive tax system with more tax brackets.

No, we don't.

The current tax rates are not fair to the lower and middle classes. The wealthy need to pay there part to help our great region.

[Queen Mum Inks.LWC]

Governor, I'd really like to get some numbers for the current bill from the GM before we keep making changes, if that's all right with you.

[tmthforu94]

Governor, I'd really like to get some numbers for the current bill from the GM before we keep making changes, if that's all right with you.

Of course, but there's still going to be a deficit after the GM's numbers. Just trying to roll two balls at the same time, as I'm somewhat on a time crunch to try and get this done by the end of this session.

[Chancellor Tanterterg]

What we need is a more progressive tax system with more tax brackets.

No, we don't.

The current tax rates are not fair to the lower and middle classes. The wealthy need to pay there part to help our great region.

I agree with Assemblyman Gass3268 on this.  At the very least, the regional income tax rates (especially for the upper income brackets) need to be increased as do the corporate tax rates (although the regional income tax brackets are a bigger problem).  Long story short, we need a more progressive tax system (at least, if we are serious about passing anything close to a fiscally responsible balanced budget).

[Queen Mum Inks.LWC]

What we need is a more progressive tax system with more tax brackets.

No, we don't.

The current tax rates are not fair to the lower and middle classes. The wealthy need to pay there part to help our great region.

I agree with Assemblyman Gass3268 on this.  At the very least, the regional income tax rates (especially for the upper income brackets) need to be increased as do the corporate tax rates (although the regional income tax brackets are a bigger problem).  Long story short, we need a more progressive tax system (at least, if we are serious about passing anything close to a fiscally responsible balanced budget).

Actually, a flat tax (which is what most states that make up this region use) would get us much closer than a graduated tax system.

[Talleyrand]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

[Chancellor Tanterterg]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

I will get back to you on this Monday or Tuesday, Assemblyman TexasDem

[Talleyrand]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

I will get back to you on this Monday or Tuesday, Assemblyman TexasDem

Thank you. I look forward to hearing your suggestions.

[tmthforu94]

Hey guys! Here are some numbers I received from GM Shua that should help move us along (Inks, if you could add these into the budget, that would be great!

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GM Shua is still working on the pension tax. I also am assuming former Governor ZuWo's amendments to cut tax breaks has also been calculated in terms of what our deficit would be.


As it stands, once the $5.5 billion(ish) revenue is brought in from the lottery, we're looking at a deficit of around 17 billion. We also have a potential $3.1 billion from bringing the sales tax up to 6%, which would cut the deficit all the way down to $14 billion. We could discuss what we want to do in terms of that.

Also, I would recommend that both sides (proponents of the flat tax and progressive tax) submit their proposals on how the income (and corporate) tax rates should be set up, and let's send that to Shua to see how either/or would affect the deficit. Once we have that established, I'd recommend we all go through the budget once again with a toothpick, finding any area's where changes could possibly be made. We also have some government aid that'll need to be added in there (I'll start working on that).

Some scattered thoughts there, both hopefully it all makes sense!

[Talleyrand]

Governor Tmthforu94, would you be willing to support a further increase in the sales tax to 6.3%?

[tmthforu94]

Governor Tmthforu94, would you be willing to support a further increase in the sales tax to 6.3%?

Well personally, I'd put it at 7%, as that's what I'm used to here in Indiana.

[Talleyrand]

Governor Tmthforu94, would you be willing to support a further increase in the sales tax to 6.3%?

Well personally, I'd put it at 7%, as that's what I'm used to here in Indiana.

I'm fine with that; in fact I'd prefer it over 5.7, 6, or 6.3%. I just thought 6.3 would be more acceptable to most of my fellow assemblymen, but I'd be happy to be proven wrong.

[Queen Mum Inks.LWC]

Governor, we still need that increased revenue for the beer.  Also, wht is our estimated cost for keeping up the lottery?  We now need to add that to expenses as well.

[tmthforu94]

Governor, we still need that increased revenue for the beer.  Also, wht is our estimated cost for keeping up the lottery?  We now need to add that to expenses as well.

I'll have to speak with GM Shua, then get back to you on that. Unfortunately I can't just figure numbers on this stuff, otherwise we'd have a balanced budget tomorrow.

EDIT: Here is what ZuWo said regarding the beer tax:

GM shua has informed me that the higher beer taxes generates an additional revenue of $150 million. That's not much more than a drop in the ocean. In fact, our debt is still at $32 billion even with this small tax hike.

[Chancellor Tanterterg]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

These are my proposed rates (I decided against creating any new brackets, although I would not be opposed to this, I doubt that it can make it through the Assembly):

Actual Rates (proposed rates) (% Increase)
 

Income Tax Rate:
0%    $0 - $13,000 (0%) (0%)
1%    $13,001 - $40,000 (1%) (0%)
1.5%    $40,001 - $100,000 (2%) (.5%)
2.2%    $100,001 - $180,000 (3.5%) (1.3%)
2.7%    $180,001 - $300,000 (5.5%) (2.8%)
3.25%    $300,001 - $750,000 (6.5%) (3.25%)
4%    $750,001 - $2,750,000 (7.5%) (3.5%)
5%    $2,750,001- $9,999,999 (8.5%) (3.5%)
6.5%   $10,000,000+ (9.75%) (3.75%)
1.5%   Employer conributions to pensions

Corporate Tax Rate:

0%    $0 - $50,000 (0%) (0%)
0.5%    $50,001 - $75,000 (0.5%) (0%)
1%    $75,001 - $125,000 (1.2%) (.2%)
1.5%    $125,001 - $350,000 (1.8%) (.3%)
2%    $350,001 - $1,000,000 (2.5%) (.5%)
2.5%    $1,000,001 - $10,000,000 (3.25%) (.75%)
3.25%    $10,000,001 - $20,000,000 (4.5%) (1.25%)
4%    $20,000,001-$70,000,000 (5.5%) (1.5%)
5%   $70,000,001+ (6.5%) (1.5%)

Thoughts?

[Queen Mum Inks.LWC]

I think we should go to a flat tax rate, like most states in America use.

[Kung Fu Kenny]

I think we should go to a flat tax rate, like most states in America use.

God bless.

[Talleyrand]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

These are my proposed rates (I decided against creating any new brackets, although I would not be opposed to this, I doubt that it can make it through the Assembly):

Actual Rates (proposed rates) (% Increase)
 

Income Tax Rate:
0%    $0 - $13,000 (0%) (0%)
1%    $13,001 - $40,000 (1%) (0%)
1.5%    $40,001 - $100,000 (2%) (.5%)
2.2%    $100,001 - $180,000 (3.5%) (1.3%)
2.7%    $180,001 - $300,000 (5.5%) (2.8%)
3.25%    $300,001 - $750,000 (6.5%) (3.25%)
4%    $750,001 - $2,750,000 (7.5%) (3.5%)
5%    $2,750,001- $9,999,999 (8.5%) (3.5%)
6.5%   $10,000,000+ (9.75%) (3.75%)
1.5%   Employer conributions to pensions

Corporate Tax Rate:

0%    $0 - $50,000 (0%) (0%)
0.5%    $50,001 - $75,000 (0.5%) (0%)
1%    $75,001 - $125,000 (1.2%) (.2%)
1.5%    $125,001 - $350,000 (1.8%) (.3%)
2%    $350,001 - $1,000,000 (2.5%) (.5%)
2.5%    $1,000,001 - $10,000,000 (3.25%) (.75%)
3.25%    $10,000,001 - $20,000,000 (4.5%) (1.25%)
4%    $20,000,001-$70,000,000 (5.5%) (1.5%)
5%   $70,000,001+ (6.5%) (1.5%)

Thoughts?

I'm with you on corporate tax rates, but I'd prefer slightly lower income taxes, such as the following I'd like to propose.

Income Tax Rate:
0%    $0 - $13,000 (0%) (0%)
1%    $13,001 - $40,000 (1%) (0%)
1.5%    $40,001 - $100,000 (2%) (.5%)
2.2%    $100,001 - $180,000 (3%) (1%)
2.7%    $180,001 - $300,000 (4.5%) (1.5%)
3.25%    $300,001 - $750,000 (5%) (1.75%)
4%    $750,001 - $2,750,000 (6%) (2%)
5%    $2,750,001- $9,999,999 (7.5%) (2.5%)
6.5%   $10,000,000+ (9.5%) (3%)
1.5%   Employer contributions to pensions

[Chancellor Tanterterg]

I would prefer about a 10% increase to the regional sales tax, bringing it to about 6.3%, but I can settle with 6%.

Assemblyman Gass3268 and Mr. X, what are some specific changes in the corporate and income tax rates you support? I'm sympathetic to your point of view, but I would support the status quo over dramatic tax hikes. I would also like to see any changes in the bracket system you support.

These are my proposed rates (I decided against creating any new brackets, although I would not be opposed to this, I doubt that it can make it through the Assembly):

Actual Rates (proposed rates) (% Increase)
 

Income Tax Rate:
0%    $0 - $13,000 (0%) (0%)
1%    $13,001 - $40,000 (1%) (0%)
1.5%    $40,001 - $100,000 (2%) (.5%)
2.2%    $100,001 - $180,000 (3.5%) (1.3%)
2.7%    $180,001 - $300,000 (5.5%) (2.8%)
3.25%    $300,001 - $750,000 (6.5%) (3.25%)
4%    $750,001 - $2,750,000 (7.5%) (3.5%)
5%    $2,750,001- $9,999,999 (8.5%) (3.5%)
6.5%   $10,000,000+ (9.75%) (3.75%)
1.5%   Employer conributions to pensions

Corporate Tax Rate:

0%    $0 - $50,000 (0%) (0%)
0.5%    $50,001 - $75,000 (0.5%) (0%)
1%    $75,001 - $125,000 (1.2%) (.2%)
1.5%    $125,001 - $350,000 (1.8%) (.3%)
2%    $350,001 - $1,000,000 (2.5%) (.5%)
2.5%    $1,000,001 - $10,000,000 (3.25%) (.75%)
3.25%    $10,000,001 - $20,000,000 (4.5%) (1.25%)
4%    $20,000,001-$70,000,000 (5.5%) (1.5%)
5%   $70,000,001+ (6.5%) (1.5%)

Thoughts?

I'm with you on corporate tax rates, but I'd prefer slightly lower income taxes, such as the following I'd like to propose.

Income Tax Rate:
0%    $0 - $13,000 (0%) (0%)
1%    $13,001 - $40,000 (1%) (0%)
1.5%    $40,001 - $100,000 (2%) (.5%)
2.2%    $100,001 - $180,000 (3%) (1%)
2.7%    $180,001 - $300,000 (4.5%) (1.5%)
3.25%    $300,001 - $750,000 (5%) (1.75%)
4%    $750,001 - $2,750,000 (6%) (2%)
5%    $2,750,001- $9,999,999 (7.5%) (2.5%)
6.5%   $10,000,000+ (9.5%) (3%)
1.5%   Employer contributions to pensions

I can definitely live with that.

[Queen Mum Inks.LWC]

A flat tax is the most realistic way we can do this.  AND it would raise more money than a graduated income tax.

I am also opposed to increasing corporate taxes at this time.

[tmthforu94]

Also, wht is our estimated cost for keeping up the lottery? 

I just spoke with GM Shua - the estimates he gave were the total profit, so costs are included in that.

[tmthforu94]

For the pension tax, GM Shua estimates approximately $1.9 billion being brought in.

[Queen Mum Inks.LWC]

The deficit is now down to 15.14 billion

[Kung Fu Kenny]

Changing my vote on Amendment #2 to Aye if I still can

[Queen Mum Inks.LWC]

Changing my vote on Amendment #2 to Aye if I still can

There aren't any amendments at a vote right now.  (Right? - Did I forget to close one?)