OPINION: ‘Stimulus Tax’ a contradiction in terms

By Michael M. Rosen
La Jolla resident

“The difference between a taxidermist and a tax collector,” Mark Twain once quipped, “is that the taxidermist takes only your skin.” Pity nobody shared the joke with Dr. Paul Garver, who wants to represent La Jolla in the State Assembly.

In a recent op-ed in these pages, Garver laughably argued that Californians would enjoy prosperity, unicorns, and rainbows if only Sacramento would further raise our tax burden – already the highest in the nation.

The oil severance tax Garver favors would punish the remaining companies investing in California’s dwindling resources industry by piling yet another levy on top of the income taxes, regulatory fees, property taxes, and sales taxes they already shell out. In fact, by lowering the value of underground oil, economists believe that a severance tax diminishes the property taxes taken in by government.

Plus, let’s not forget it’s those same relatively unsympathetic oil companies, such as Chevron up in the Bay Area, who provide thousands of jobs to Californians and whose corporate profits underwrite the pensions of teachers and firefighters in the Golden State. Taxing them further hurts us all.

Finally, states like Texas and Alaska, with whom Garver unfavorably compares California, are indeed thriving, but not because of their oil severance taxes. Rather, the low regulatory and corporate tax burden in those states has spurred the kind of growth tax-afflicted Californians can only dream of.

And in this sense, Garver’s right about one thing: his suggestions that Californians “adopt the standard of economic practice” used elsewhere. Indeed, if the liberal Democratic club in Sacramento Garver seeks to join displayed even a modicum of fiscal common sense, welcoming businesses to the state instead of ousting them, we might turn our fortunes around. Scrapping the foolhardy oil “stimulus tax” would be a great start.

Related posts:

  1. OPINION: A proposal for a ‘stimulus tax’ for our state
  2. OPINION: Speak up if you care about the Village
  3. OPINION: Citywide BID Council working with city council to restore La Jolla business group
  4. OPINION: What’s news — what’s not
  5. OPINION: Pet poo can destroy paradise

Short URL: http://www.lajollalight.com/?p=2624

Posted by Halie Johnson on Sep 9, 2010. Filed under News, Opinion. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Leave a Reply

La Jolla Community Calendar

Facebook

Bottom Buttons 1

Bottom Buttons 2

Bottom Buttons 3

Bottom Buttons 4

Bottom Buttons 5

Bottom Buttons 6

RSS North Coastal News

  • Del Mar makes additional adjustment to its turf racing August 2, 2014
    Del Mar plans further adjustments to racing on its turf course following injuries on the new surface, which had been expanded and installed this past winter to replace its previous course that was more than 50 years old. The changes, which will take effect immediately, will consist of the following items: […]
  • At Stand Down, veterans get the respect they deserve August 2, 2014
    San Diego is home to one of the largest veteran populations in the nation. Sadly, many men and women who have served our country now need our help. In our community, the nonprofit Veterans Village of San Diego steps in to provide assistance. Earlier this month, Veterans Village hosted its 27th “Stand Down,” a three-day event that converts the field at San Di […]
  • Sheriff’s Department and response times August 1, 2014
    The newly appointed captain of the San Diego County Sheriff’s department, Encinitas branch, recently provided the city of Del Mar’s budget and finance committee with the average response times for the four major types of 911 calls. The response times as stated by the captain appear to be consistent with our neighboring cities, including Solana Beach. Priorit […]