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To: avacado
California on the other hand is in a very different situation by having a State income tax which the illegals do not pay into.

Not really. If texas switched to an income tax, you would find business would have to pay their workers more to cover the cost of the tax and then they would raise prices accordingly.

What I am saying is THE INCOME TAX IS EMBEDDED IN THE COST OF GOODS SOLD AND IS PAID BY THE CONSUMER.

58 posted on 12/08/2006 9:27:36 AM PST by staytrue
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To: staytrue
"Not really. If texas switched to an income tax, you would find business would have to pay their workers more to cover the cost of the tax and then they would raise prices accordingly."

Not so. Illegals in California make no more than illegals in Texas. And you are missing the point. Illegals do not pay income taxes in California nor do their employers... They are illegal! So in Texas the illegals pay sales taxes where Texas gets the bulk of their revenue and in California illegals do not pay income taxes, just as in Texas, but California depends more on income taxes.

71 posted on 12/08/2006 9:46:08 AM PST by avacado
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