Sunday, February 18, 2007

Tallahassee Democrat Calls for Comprehensive Tax Reform

It's the sort of sentiment that is so obvious, it shouldn't even be notable. But at a time when Florida lawmakers' tax-reform priorities begin and end with the property tax, it's nice to hear a reminder that there's more to it. An editorial in Friday's Tallahassee Democrat cautions against focusing just on the property tax picture:
What's really needed is a comprehensive review of Florida's tax system - not only property taxes, but also the hundreds of sales-tax exemptions totaling multibillions of dollars. That requires strong political will, not just sound bites.
The sales tax, of course, is only one part of the larger picture, and the Democrat doesn't really connect the dots to explain why such a reform should go hand in hand with property tax cuts. [The answer: state lawmakers have made an art form of sloughing off funding responsibilities to local governments, and have used the resulting "surplus" revenue to enact unaffordable tax cuts. So a necessary part of local property tax reform will be reinvigorating state-level taxes, including (but not limited to) the sales tax.]

And it would be nice to hear a word or two about whether reforming the state's loophole-ridden corporate tax or enacting an income tax might be a solid option. But kudos to the Democrat for keeping their eye on the big picture.

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