Monday, January 28, 2013

AB 8: The Car Tax Increase is Back Again

In an unusual procedural maneuver, Assembly Bill 8 (Henry Perea) has already been set for a committee hearing. This is odd since it is so early in the legislative session and strongly suggests to us that the skids are greased for this pernicious piece of legislation. - Jon Coupal/Howard Jarvis Taxpayers Association

One would think that the passage of Proposition 30 -- giving California the highest income tax and sales tax rates in America -- would have momentarily satiated the appetite of our governing political class before they continued their assault on hardworking California taxpayers. But there is no rest for the wicked. In a matter of days, our Legislature will launch a new attack on all Californians who drive a car....

Even if this “deal” were worth it as a matter of policy, the majority party has a horrible track record in keeping its promises and shouldn’t be trusted. For example, these very fees were supposed to disappear by 2014. But now we’re being told they should be extended until 2023. And who’s to say that, once the tax hike is in place, the harmful diesel truck regulations won’t be immediately reinstated. After Democratic leadership reneged on the deal with Republicans to put a spending limit measure on the ballot in 2012, any Republican who even considers supporting AB 8 is delusional.

Let’s be clear. The diesel regulations which are crushing the trucking industry and inflicting enormous harm on the California economy need to go. But hitting citizen taxpayers -- who are now leaving California in record numbers -- is not the answer.

With the beginning of the legislative session, 120 lawmakers have a new opportunity to start doing the right thing by reducing job killing regulations without charging car drivers in return.
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Jon Coupal is president of the Howard Jarvis Taxpayers Association -- California's largest grass-roots taxpayer organization dedicated to the protection of Proposition 13 and the advancement of taxpayers' rights.