Showing posts with label tax. Show all posts
Showing posts with label tax. Show all posts

Wednesday, December 12, 2018

Rahm Wants Illinois To Raise The Gas Tax



I've been saying "sure, why not, just base it on miles of road per county." Well guess what I found at IDOT's website: Illinois Travel Statistics.

It's clear who needs the most infrastructure repair yearly. It's also clear where most people gas up their cars weekly. Proportionally, Cook county has the highest amount of road usage, at least four times that of the next highest county, DuPage. Beyond the top 13 in the chart, the rest pales by comparison, plus Cook county has the highest cost of living.

It won't really hurt the rich, but a gas tax is regressive and especially hurtful for people down-state who must commute 45 minutes to work or more than 10 miles to the nearest grocery store.


Saturday, March 05, 2011

Springfield Illinois Residency Requirement

I created a discussion topic at the new forum now available at www.spfld.net focusing specifically on the question of how much actual dollars are lost forever from the city's economic cycle, by employees who work for the city, but live and spend their money in other communities?

The question of residency requirement in Springfield, Illinois is especially important because the city has it's own utility company, City Water Light and Power, which generates money from it's private sector customers as a revenue source that helps pay the salaries of city employees.

If municipal employees live outside the city of Springfield, in the realm of other utility companies, merchants and services that have private sector employees that live in other communities, The potential tax revenue that might have been generated for the city of Springfield is lost forever, which means that real money is slowly and permanently being siphoned out of Springfield, Illinois' economic circulation.

Money is already being siphoned permanently away from Springfield when people choose to buy anything that was not manufactured locally. When you look at money in terms of an environmental cycle, like the hydrogen cycle, for example, it becomes clear that survival based on the money cycle is limited and is dependent upon new money flowing in faster than it leaves.

New money flowing in faster than it leaves is entirely up to businesses. If businesses pay wages high enough, the tax revenues generated should produce services and infrastructure that is attractive enough to draw in more businesses. Unfortunately, businesses will only pay employees what the government forces them to pay employees. The government employees have organized and demanded to be paid more than the city is willing to tax the private sector because the private sector can leave.

The consequences is a crumbling infrastructure which becomes so unattractive that the only way to compensate is to pay exorbitant salaries to the professionals needed for the survival of the community, who would otherwise leave, in the fields of academics, health, finance, engineering, etc.

But the habit in Springfield is this: If you can afford it, live outside of the city.

The city of Springfield, much like most municipalities, is becoming an economic crater. The only difference is that inevitability of collapse is slowed by money generated from the city's own utility company, CWLP. The evidence of a crumbling infrastructure can be clearly seen in the architecture of the buildings surrounding the state capitol, and the odor rising up from the open sewers on 13th street and other older areas of the city.

Thursday, April 02, 2009

Consumption Taxes


Some people argue in favor of a sales tax instead of an income tax. This would mean that only those who indulge in certain consumption will pay the taxes.

However, certain things are not simply indulgences. Some are necessities, like food.

A person making $20 per hour and a person making $8 buy the same product, who pay the higher sales tax?

If you look at the short end, you would say neither because the tax would be the same. Outside that box, however, you would understand that the greater burden is on the person who earns less as a percentage of total income and expenses are calculated at the end of the month.

The perception of cost would also be much greater when tied directly to a good or service, instead of gradually drawing taxes out each week. The Cigarette tax is now high enough to cause people to quit smoking in droves. It's a good thing I quit smoking in 2004.