Posted on 11/21/2008 9:35:31 AM PST by goldstategop
Seems that Governor Schwarzenegger wants to help out his old Hollywood friends with millions of dollars in tax breaks. He makes a case that lower taxes on film and television companies will reverse the trend of runaway production. Currently, California is losing out to at least 40 other states and Canada that are luring away production companies with very attractive tax incentives.
Five years ago, 66% of feature film production took place in California. Last year this was reduced to just 31% and the governor wants to help an industry that supports about 250,000 employees.
While a non-critical evaluation might make this tax cut seem a good idea -- encourage a major business to remain in our state and retain taxpaying employees -- it is coming from the same governor who is supporting tax increases on all Californians.
The average taxpayer looks at the lesson of runaway Hollywood production and draws an entirely different conclusion. They see just one more example, out of many, of high California taxes driving business, jobs and taxpayers out of state. The U.S. Census Bureau reports that the state is suffering a massive net out-migration of citizens to other states. In most cases, those leaving also represent a loss of jobs and taxpayers who are vital to supporting state and local services.
The governor would be wise to reexamine a tax policy that creates some winners -- like his Hollywood friends -- and many losers, i.e., ordinary California taxpayers. If we can afford to give entertainment companies a tax break, how about a break for all businesses and taxpayers? If a tax break for production companies will keep them here, why not apply the same principle to all and not only encourage native businesses and taxpayers to remain in the state, but encourage new business and taxpaying citizens to relocate here?
Californians like to think of themselves as leading the way for the rest of the nation. When it comes to taxes, we do. Our state has the highest income and sales taxes in the nation. We have the highest business taxes west of the Mississippi. When it comes to providing a healthy climate for business, several studies show we are leading the way to the bottom.
A few months ago, I had the privilege of speaking to a group of Utah legislators. When the subject of the California Legislature came up, they began to chuckle. They explained that they credited California lawmakers, with their anti-business policies, as a significant asset in getting businesses to relocate to their state.
It is time for the Legislature and the governor to take off their blinders and recognize that California is rapidly losing the competition with other states. Higher taxes that Sacramento politicians are pushing would make us even less competitive. If they want to grow the economy, put people back to work and ultimately increase revenues to government they need to move in the opposite direction.
A tax cut would go a long way toward polishing the image of the now tarnished Golden State. The Hollywood example has already shown businesses will respond to an attractive tax climate. Why not go on the offensive and be among the first states to make businesses an offer they can't refuse? A tax cut for all would be the quickest way to lift us from the grip of recession.
Can you hum a few bars of Dixie?
I just read in the Sac Bee those jokers at the Capitol want to triple the car tax. Car dealers are going out of business and those clowns want to really stomp on them.
Many Massachusetts transplants are actually political refugess, and more conservative than the average.
If you look at the vote results town-by-town along the border with Mass., you'll find red-to-purple, rather than blue. The bluest regions of the state are in Concord, with a bunch of goldbricking state employees who were instrumental in turning out Craig Benson and installing John Lynch, and along the border with Vermont, and in college towns where the denizens are carefully indoctrinated by the faculty.
CA is in meltdown mode I am afraid.....they have yet to cut a dime in spending ya know.
My husband and i left California 3 years ago, and never regretted it...
I love the change of seasons....
The pictures are nice. If the weather in California is your most important issue. then you should stay. But, don’t complain When your children come home putting condoms on pickles. You can say the culture, welfare state,high taxes and illegals isn’t impoertant, but some of us are not going to stay. Enjoy the sun
~ From Samson Agonistes, by John Milton
Good luck to you. You might find it is like pushing against the tide with a toothpick. There are no more Republican members of the House or Senate in all of New England. When you see these kooks from Vermont and Mass. start to move in and first take over your city councils and then your Mayor’s offices, look out. Soon after that you’ll be sanctioning Gay Marriage and then comes the taxes to support the homeless.
“We’re seeing the same thing in New York. We’re looking to make a move in the next few years, but our destination will have to fulfil several criteria.
There must be no state income tax.
There must be no major cities.
It must have little or no migration from the northeast.”
So.... just where have you zeroed in to?
Got a few places in mind like that, myself. However, I think you’re going to have to drop the “no state income tax” requirement. Even New Hampshire is going to have an income tax within the next 10 years.
A modification of that “income tax” criteria might be a state with a reasonably low income tax, but with low _other_ taxes, such as property taxes.
- John
There are a lot of Hollywood-ites buying big farms or tracs of land in Virginia to build their McMansions or nuvo-Colonial-farms and then turning around and heavily restricting real farmers from raising crops or livestock because of noise or chemicals or whatever...
Add to them all those fleeing NY, NJ, MI, MN, WI and elsewhere north to get jobs, lower taxes, lower cost of living have turned Virginia (and North Carolina) "blue" with their voting habits that they brought with them from the wrecked states they left. They should have kept going to Florida.
We gained seven Republican seats in the State House, however. And really, what difference does Congress really make in your everyday life except for the numbers on your W2?
I tried pushing against the roaring tsunami with a toothpick in California, and I'd much rather be armed with a toothpick in New Hampshire and playing offense (like turning out 500 people against an anti-gun bill, cutting $1.5 million from the town budget, or taking out an anti-gun Democrat in her primary), than in California fighting a rear-guard battle.
You’re right about that. Alabama and Missippi have low income taxes, no tax on retirement income (we’re a few years off) and low property taxes. We pay $11,000 per year in very modest home in a very modest community.
Consider my criteria adjusted.
I wish you luck. I was born and raised in Souther California when the San fernando Valley was Cow Pastures and Orange Groves. I left when I entered the Army. Watched from a distance as it went through the Reagan era and returned many years later on a visit only to see what to me was something completely different than what I used to know. I now live in the southern part of a State that voted 65% Republican in the most recent election and love it here. Lots of “Old Retired Military Guys” like me.
Oh yeah...
And when you mention Alabama and Mississippi to northeastern liberals they gag and become physically ill.
probably for the same reason you’re in a bunker under SF. Its scary out there.
Shush!
The joke now is that “so and so ran away to Vancouver to become a movie star..”
Just like everyone else, the movie people are tired of high taxes and overpaid crews. Other states offer money for movies to be filmed in their states (Michigan...offers something like a subsidy of 40% of production cost)
Ahuld needs to stop pandering to illegal aliens and start lowering taxes....that will stimulate the economy
At least three states -
Coastal, from the LA County line, north to the Gualala River.
Inland, including Orange and San Diego Counties. San Beaner, Kern and up the crest of the coast ranges to about the 39th parallel (they get Sacramento and Davis).
Northern, from the Gualala River across to Placer County.
There is a good argument for splitting Oregon and Washington into East and West too.
Not even close. The savings on my vehicle registration alone is twice what I spend on my heating and cooling all year long. In 2000, a cost of living comparison between San Diego and Pocatello showed a $108,000 salary in San Diego equivalent to $70,000 in Pocatello. Housing is a much better value. The good news for me is that I relocated with the $108,000 salary still in place. Now my home mortgage is paid off.
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