Our Opinion: A piecemeal, contentious approach to redistribution

Friday, March 15, 2013

Governing involves the process of redistributing other people’s money.

An example of redistribution is the tax credit — the subject of the first bill approved by lawmakers this session and advanced to Gov. Jay Nixon.

Legislators overwhelmingly favored authorizing $3 million annually in state subsidizes to local governments and non-profit groups to attract sporting events.

A recommended approach to comprehensive, tax-credit reform apparently has been superseded by a more piecemeal process. For those keeping score, separate legislation to extend tax credits for food pantries and other charitable causes also was approved and sent to the governor prior to the upcoming spring break.

Supporters of the tax credits to lure sporting events contend they are needed if Missouri’s local governments and groups expect to compete with out-of-state venues, which dangle similar incentives. The host sites for events — such as college basketball tournaments and Olympic trials — draw visitors and boost economic development.

Opponents counter that the incentives are either unnecessary or violate a basic principle.

Rep. David Hinson, R-St. Clair, argued Missouri venues historically have hosted such events. “They’ve been doing this for years without incentives,” he pointed out.

And Rep. Paul Curtman, R-Pacific, said: “There’s a fundamental principle of equality under the law that we’re violating when we pick and choose who we want to get tax cuts or tax breaks as far as economic development goes.”

An instigator of much Missouri tax-credit discussion is competition with neighboring Kansas, which now faces a projected budget shortfall.

During debate by Missouri lawmakers on a separate redistribution issue — an income tax cut tied to a sales tax hike — Sen. Paul LeVota, D-Independence, complained: “There’s a race to the bottom that we’re going to win against Kansas.”

Our interest is not picking and choosing specific tax credits, but the potential pitfalls in the overall process.

First, we believe a comprehensive approach to tax credit reform is preferable to the piecemeal approach.

Second, following Kansas over the budget cliff is inadvisable.

Missouri lawmakers, however, are taking a piecemeal approach to tax incentives likely to escalate a border war with Kansas.

We engage in such a strategy at our mutual peril.

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connor 2 months, 1 week ago

This opening sentence completely voids this entire article. Since when has Government been defined as a wealth redistribution system? To claim that wealth redistribution is even a part of the Governments job is just more Liberal/Feminist religious dogma.

From that point on it is obvious if you assume the first sentence as fact you cannot come to a logical end conclusion pertaining to taxes at all.

Taxes are never paid by companies, the tax burden is always transferred to the consumer to bear so you are really arguing for more wealth transfer from the citizens into the government coffers and the subsequent loss of economic activity (IE jobs) the people could make use of.

Here's an idea. Get the government out of the wealth redistribution fallacy and limit it to providing needed emergency services, defense and infra-structure as intended. Then the tax burden wouldn't be so hard, complicated nor important.

JCLifer 2 months, 1 week ago

I agree 100% with connor. The purpose of governent is to do what we cannot do individually to provide basic structure and resources to its people. Ensuring fair commerce, transportation infrastructure. national defense, minimal safety net for the disabled and the poor, etc.

Government should never be used to make winners and losers. It should never be a wealth re-distributor. Government should not be the end-all provider of anything to folks who do now want to earn it.

Subsidzing millionaires and corporations is a no-win game. What you do for one has to be done for all. It never stops. Using precious tax dollars to compete with other states is plain stupid, especially when we have such archaic schools, roads, and other public assets.

One thing for sure, we are in a deep mess with no end in sight. We cannot get out of this mess by continuing the same failed policies. We cannot spend and borrow and spend ourselves into prosperity.

The fact that most people think that the government's purpose is to redistribute wealth makes me sick. This op-ed makes me ill too.

The customer always pays for everything. Taxing corporations is foolish.

RobHunterJohnson 2 months, 1 week ago

JC lifer, Conner says nice things, but there needs to be a balance, something the Tea Party types are not willing to give? I. like you have paid into Social programs that the TPs are bound, and determined to destroy! Vouchers, elimination ,and slashing all the ills of this nation! True there is waste, and Congress, State Legislators need to find it, and irradicate it. His complaints about Democrats; Who has had control of the legislator for last few years? The Handkech bill has created alot of our problems! Martin is wrong, and all the others big doners Conner supports! Have you noticed lately our streets are becoming Gravel, and if we let the Conner's run amuck, he, and we will soon be barefoot like John Boy! Good jobs will get this problem staight RTW, and Prevailing rate programs will not solve Missourians problems, just feather the Richs pocket with green. rob

connor 2 months, 1 week ago

Don't like crumbling roads, over flowing storm drains or rust colored water? That's easy to fix. Use our tax money the way a government should and not wasted on social engineering schemes and wealth transfers and see how fast everyone's quality of life improves.

The Cleftwing conglomerate of Liberals, feminist, unionist, LBGT and race hustlers hope to bring everyone down to the same level of eating turnips exclusively and taking public transportation from 100 square foot identical government built apartments. That is everyone but them, they still hope to skim off the top for their own interests.

jeffcitygirl 2 months, 1 week ago

wrote something here and oops, it posted in the wrong story.

3blindmice 2 months, 1 week ago

I often wonder what keeps people in missouri. The legislature is not just pro-business, they are anti-people. Everything they have pushed this year have negative effects not only the poor but on working people as well. Take a look at all the states with "right to work" laws. Every one of those states have a below federal wage. The legislature refuses to adopt the new healthcare law leaving many working people without health insurance. How much of jefferson city is earning 10/hour and less? I'm betting a good 30 % of the population. So missourians why stay?

JCLifer 2 months, 1 week ago

Good points. Business in Missouri are doing so lousy because everyone is so poor. Folks don't have any discretionary income to buy anything. If they had some money they would buy, and then businesses would flourish and jobs would be created.

Passing any kind of tax increase won't happen because the wages are so low.

Missouri is quickly becoming an Appalacia state. We will soon look up to West Virginia.

3blindmice 2 months, 1 week ago

In reply to connor's crack about public transportation. The gas taxes you pay at the pump only pay for 40% of the roads you drive on in missouri. 60% comes from general revenue. So you can thank all those people who rarely use those roads and minimal wear and tear by using public transportation to providing for your free ride.

connor 2 months, 1 week ago

40% (if that is even a correct number) after the Federal government gives us back what is left of our wealth they used for Liberal/Feminist social engineering projects that is.

Eliminate all the social spending and allow tax dollars and wealth to stay locally instead of funding more Leftwing utopian dreams and there wouldn't even be a need for a gasoline tax.

online_editor 2 months, 1 week ago

Just FYI, according to this report (mobudget.org/files/Transportation%20Funding%20Report%20July%202012.pdf), MoDOT receives 1 percent of its funding from state general revenue and most of that is allocated to Amtrak. The bulk of its funding comes from state and federal gas taxes, vehicle and driver license fees and vehicle sales taxes. City and county roadways have their own variety of sources including a portion of local sales taxes in JC and Cole County. There is a proposal under consideration in the Legislature to hike the state sales tax by 1% to increase funding to MoDOT, which obviously would change the current balance.

RobHunterJohnson 2 months, 1 week ago

Oh Boy,I just looked up Ed Martin he was the Matt Blunt chief of staff! Losing Att. General race, the Tea Party favorite, does he think like you Conner, or do you think like him? No wonder the GOP in Missouri is in trouble was he involved in all those emails? I think you guys ought to have another Grand Old Party and pick someone with a better resume if you wish to compete in Missouri1 rob

RobHunterJohnson 2 months, 1 week ago

Out of the post dispatch today, " Not enough Guvmint! We must have strict laws or the democrats will win more elections and they will have control and enslave us! Flee to your prepper bunkers, fellow patriots!" "To much guvmint! The State, Feds, and the UN will use our drivers license and gun permit info to control and enslave us! Flee to prepper bunkers, fellow patriots!" Rob

online_editor 2 months, 1 week ago

I removed some comments in a thread of personal bickering. With that, we'll close the comments on this page. If you'd like to address the editorial, please write us a letter to the editor for publication to editor@newstribune.com. Thanks.

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