Higher local taxes are in your future thanks to Governor Kasich and Representative Sprague. The elimination of the Estate Tax will cost the City of Findlay about .8 million dollars a year in lost revenue. That is about 3.3 % of the city’s annual budget. It may not seem like much, but when you add to that the loss of other sources of state funding and the roll back of the quarter percent emergency city income tax, the city of Findlay is facing a $4.9 million shortfall for the year 2013.
Rep. Robert Sprague and The Courier acknowledge that local taxes are bound to go up, but they believe that trading state taxes for local taxes is a good deal for the citizens of Ohio and Findlay. I fail to see how trading one tax for another makes Ohio more competitive.
For a Governor that has his sights set on a presidential run in 2016, cutting the Estate Tax is all gain and no pain. Governor Kasich can stick a nice feather in his cap by cutting the Estate Tax, long the whipping boy of the Republican Party. Then Kasich will let local governments and local tax payers make up the loss of revenue. Cutting the Ohio Estate Tax will play well with the Republican base at the national level, but where does it leave the Ohio tax payer?
I would ask; are Ohio’s Republican lawmakers using this budget crisis not only to shift the burden from the State to the Local level, but more importantly to shift the total of our state and local revenues to a less progressive and a more regressive tax system? Elimination of the Estate Tax is the keystone in the Republican plan to shift a greater tax burden from the wealthy to working families.
In an environment where the state government is pinching local government at both ends with decreased funding and increased unfunded mandates to close the state’s budget gap, cutting the Estate Tax and placing a high tax burden on working families, in favor of the wealthy, seems irresponsible and wholly unfair.
Courier Editorial “Unbalanced”: http://www.thecourier.com/opinion/editoral/2012/Mar/23/ar_ed_032312.asp?d=032312,2012,Mar,23&c=e_0
Courier Editorial “Balancing Act”: http://www.thecourier.com/opinion/editoral/2011/Jun/21/ar_ed_062111.asp?d=062111,2011,Jun,21&c=e_0