mactastic
Sep 8, 2003, 10:50 AM
Link (http://www.smdailyjournal.com/article.cfm?issue=09-01-03&storyID=24902)
Since we all "know" that California is the worst state as far as taxes go, I thought I would post this.
The image of California as a state with especially high taxes that some candidates have promoted during the recall campaign is exaggerated, a study shows.
California ranked 19th out of all 50 states, and the District of Columbia, in tax burdens carried by individuals and businesses in 2000, according to a study by the Federation of Tax Administrators reported in the San Francisco Chronicle on Sunday.
The ranking was based on total state and local taxes, fees and other revenue as a percentage of personal income in 2000, the most recent year for which complete data are available. That indicator is considered among the most accurate measures of tax burden, analysts said.
“There is a perception that California is a high tax-and-spend state,” said Arturo Perez, an analyst with the National Conference of State Legislatures in Denver. “It is above average. But it is far from having the highest rate of taxation.”
In contrast, many Republican candidates vying to replace Gov. Gray Davis have portrayed the state’s taxes as unreasonably high and a key reason for California’s fiscal crisis.
Earlier this month, actor Arnold Schwarzenegger promised to avoid raising taxes except in case of a state emergency.
“I feel the people of California have been punished enough,” Schwarzenegger said.
Such messages fit California’s historical opposition to taxes. In the most famous example, Californians approved Proposition 13, the landmark 1978 initiative that limited increases in property taxes.
Still, the tax burden may seem more onerous because California’s cost of living is among the nation’s highest.
A severe housing shortage has sent home values soaring. The state is also home to three of the country’s five most expensive housing markets, San Francisco, Orange County and San Diego, according to the California Association of Realtors.
Meanwhile, Californians pay steep gasoline prices. The average retail price of gas reached nearly $2.16 per gallon this week, the most expensive in the country.
California ranked ninth in 2000 in a narrower measure that includes only taxes, not fees, according to the Rockefeller Institute of Government in New York. The difference reflects the fact that many other states get a larger portion of revenue from fees for such services as registering an auto, using a campground or attending a state college.
Since we all "know" that California is the worst state as far as taxes go, I thought I would post this.
The image of California as a state with especially high taxes that some candidates have promoted during the recall campaign is exaggerated, a study shows.
California ranked 19th out of all 50 states, and the District of Columbia, in tax burdens carried by individuals and businesses in 2000, according to a study by the Federation of Tax Administrators reported in the San Francisco Chronicle on Sunday.
The ranking was based on total state and local taxes, fees and other revenue as a percentage of personal income in 2000, the most recent year for which complete data are available. That indicator is considered among the most accurate measures of tax burden, analysts said.
“There is a perception that California is a high tax-and-spend state,” said Arturo Perez, an analyst with the National Conference of State Legislatures in Denver. “It is above average. But it is far from having the highest rate of taxation.”
In contrast, many Republican candidates vying to replace Gov. Gray Davis have portrayed the state’s taxes as unreasonably high and a key reason for California’s fiscal crisis.
Earlier this month, actor Arnold Schwarzenegger promised to avoid raising taxes except in case of a state emergency.
“I feel the people of California have been punished enough,” Schwarzenegger said.
Such messages fit California’s historical opposition to taxes. In the most famous example, Californians approved Proposition 13, the landmark 1978 initiative that limited increases in property taxes.
Still, the tax burden may seem more onerous because California’s cost of living is among the nation’s highest.
A severe housing shortage has sent home values soaring. The state is also home to three of the country’s five most expensive housing markets, San Francisco, Orange County and San Diego, according to the California Association of Realtors.
Meanwhile, Californians pay steep gasoline prices. The average retail price of gas reached nearly $2.16 per gallon this week, the most expensive in the country.
California ranked ninth in 2000 in a narrower measure that includes only taxes, not fees, according to the Rockefeller Institute of Government in New York. The difference reflects the fact that many other states get a larger portion of revenue from fees for such services as registering an auto, using a campground or attending a state college.
