Americans are a hard-working bunch and should keep what they earn. Our ideas for tax reform reduce the burden of taxes while ensuring governments have the resources to focus on core responsibilities.
At 6.97 percent, Arizona has one of the highest corporate income tax rates in the West. Despite this fact Arizona's economy keeps motoring along. Unemployment remains low and average earnings continue to rise, now just over $40,000. But like any NASCAR champion will tell you, if you want to stay ahead of the pack, you have to improve every year.
Hard working entrepreneurs are responsible for the state's growing prosperity. The best thing Arizona policymakers can to do to help them keep on keeping on is lower corporate income taxes.
Contact: Rob Kramer, (602) 633-8961
While the economy is slowly recovering around the country, unemployment in Arizona is still higher than the national average at 8.3 percent. But some states, like Texas, have recovered every job lost during the recession and then some.
A new report released today, “Lessons from Texas on Building an Economically Healthier Arizona,” examines the secret to Texas’ economic success and explains what ideas Arizona could borrow from the Lone Star State to boost job growth.
Most people can think of a time when they have been having a conversation or visiting a new place and suddenly felt like they’ve been there before, doing exactly the same thing. This feeling of “déjà vu” is common: Nearly 2 out of every 3 people experience déjà vu at some point in their life. Déjà vu happens most frequently among people between 15 and 25 years of age.
Politicians love to use catchy slogans to sell their proposals. Governor Napolitano’s latest is “public-private partnerships.” Unfortunately, good slogans often make for poor policy.
During the State of the State address, the governor proposed a $25 million “public-private partnership” called Innovation Arizona. The aim is to attract top researchers to Arizona through state funding and aid product development in specific industries by providing matching funds.
As is so often the case, Winston Churchill put it best when he said, For a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.
By re-capturing taxes and returning them to the people, Robin Hood earned his place among literary heroes. Robin Hood and his band of merry travelers believed high taxes were unjust. A recent column by Richard Ruelas seems to offer a new twist on the old classic: Sheriff is actually a good guy.
On the theory that cutting taxes encourages businesses to relocate and expand, Ruelas writes, “As a theory, it’s attractive. But it doesn’t match reality.” Ruelas goes on to argue for policy by anecdote, instead of evidence.
One of the special interest groups that would benefit the most from passage of the proposed sales tax increase on Arizona’s November ballot – Proposition 204 – is the construction industry. They stand to have $100 million in government contracts funneled their way each year forever if the proposition passes.
President Bush recently proposed eliminating the tax codes bias toward employer-provided health insurance. His plan provides a standard deduction of $15,000 for families who purchase health insurance, $7,500 for individuals. The more you think about it, the more sense it makes. Why shouldn't you get the same tax break your boss gets for purchasing health insurance?
Decades of experience have shown us that high taxes dampen economic growth. State policymakers hoping to encourage job growth are right to worry about their state’s tax load on the private sector.