Wednesday, July 28

Oklahoma debating taxes, too


There’s a tax debate in Oklahoma, too. In High-tax states wouldn’t mind an economy like Oklahoma’s, The Oklahoman runs down the debate, with this being the important part:

Opponents of a tax cut, including legislative Democrats, decry the tax cut plan as providing just $39 per year for a median-income family. Yet if that $39 per family, a collective $169 million annually, can make such a dramatic improvement in government (according to tax-cut opponents), how much more impact would that money have if left in the private sector?

The argument for tax cuts isn’t that they will dramatically enrich individuals, but that they will increase the size of the private sector, which allocates money far better than any government agency. That, in turn, creates jobs that actually reduce unemployment, boost wages and lower poverty.

In recent years, total state tax collections have often increased after income taxes were cut — thanks to economic growth that proponents argue is a result of those tax cuts.