Taxes

Michigan’s Tax Charade

No Michigan Tax Deal Is Ever Worth The Paper It Is Written On

Since our devious Governor and his RINO caucus pulled out all the stops to quash the HB 4001 decrements in the state income tax last Thursday, it has dawned on Michigan politicians that the optics of the SB 111 – 115 Dan Gilbertville tax breaks just got real ugly. You can’t hand $ 1.8 billion of state revenue over to politically connected developers after stiffing the public at large without gruesome consequences. This is going to decrement some Senators’ campaign finance committee balances.

No one should fault Speaker Leonard for putting HB 4001 up for a losing vote. Bottling up and fiddling legislation behind closed doors until a winning margin is assured is not an exemplar of government transparency. Brits and Europeans may regard such shifty back room shenanigans as the hallmark of sophisticated political process, but here in America constituents want to know exactly how they are being represented. Thursday’s vote told us more about the RINOs in the Michigan House than years of deceitful political media articles and reports.

Thank you Speaker Leonard for fostering genuine political transparency.  Long overdue in Michigan.

It now appears that killing both tax reductions was the plan all along. Bridge Magazine and the Michigan Municipal League just launched a trial balloon to gut the Proposal A constitutional amendment of 1994. Proposal A limited the tax depredations of government employees acting through their local units of government, a popular activity in Michigan’s more leftward big cities and counties. The sales tax was increased 50%, but property owners got some constitutionally protected tax relief in return.

Local government employees and their Democratic political puppets want to renege on the 1994 Proposal A tax deal. Well, not entirely. Just the constitutionally protected property tax relief. No one is offering to restore the 4% sales tax rate. What was it JFK said about negotiating with the Soviets? “We cannot negotiate with people who say what’s mine is mine and what’s yours is negotiable.” Public employees and their subservient Democratic politicians have a lot of gall claiming that President Trump is a Russian stooge and a neo communist tyrant to boot.

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Just in case anyone is wondering why Michigan Taxpayers are getting screwed over (again)…

And what ever happened to that whole “I-BELIEVE-government-must-practice-fiscal-responsibility-and-allow-individuals-to-keep-more-of-the-money-they-earn.” mantra?

All I’ve got to say here is: “Beware of bipartisanship”.

{More below the fold}

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So Michigan Republicans Don’t Like Lower Taxes

Apparently the Michigan GOP house has Republicans who want to keep higher taxes and higher spending.

At least some of them anyhow.

Sometimes you gotta just wonder why, when given the chance, some Republican lawmakers refused to consider the amount collected from the working class as too high. Especially given they operate under the banner which says:

I BELIEVE government must practice fiscal responsibility and allow individuals to keep more of the money they earn.

By golly, that seems simple enough.

This is truly “the money they earn.”  Oh yeah, I suppose the “fiscal responsibility” component of that oft ignored screed might well provide an ‘out’ for any ausgespielt fiscal-moral compass by a GOP type, but its not as-if the state budget is going down, right?

The following HOUSE REPUBLICANS may be using the excuse that they wanted to see cuts in spending first, but given the insignificant amount of taxes being reduced upfront, doesn’t that itself reveal the expectation that they will not?

Afendoulis (R) Calley (R) Crawford (R) Garcia (R) Inman (R)
Lilly (R) Maturen (R) McCready (R) Pagel (R) Roberts (R)
Sheppard (R) VanSingel (R)

Sad.

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Who Rules Michigan?

The Administrative State or the People?

The titanic political struggle unfolding in Washington is sucking the oxygen out of Michigan politics, but is analogous to the central political struggle which has been playing out here in Michigan for 48 years. Political media breathlessly report on a struggle between liberal Democrats and conservative Republicans. This struggle is not between Democrats and Republicans, liberals and conservatives, nor RINOs and true believers. The Democrats, liberals, and RINOs are completely discredited in Michigan, as they are across most of the United States. All that remains of them is jammed into the Hillary archipelago.

The present political struggle is between the people and the administrative state. Call it bureaucracy, deep state, or administrative state: they are unelected government employees, their agents in the media, and the select beneficiaries of government largess. Their opponents in this struggle are the majority of Americans and Michiganders who pay the price for the administrative state; a now seething mass whose ascendancy was a rude surprise to the administrative state.

The outcome of the struggle in Washington is yet to be determined, but in Michigan the administrative state is clearly winning despite its total responsibility for the Flint water fiasco. The administrative state owns Governor Snyder body and soul. The administrative state will stop at nothing to manipulate the Michigan Legislature when the chips are down. Refractory (but innocent) legislators are expelled before legal process while cooperative (but guilty) legislators sit unfettered until legal process is completed.

How else can you explain the PA 177 of 2015 road tax package, indistinguishable from the soundly trounced Proposal 2015-01? Or the bogus Detroit bankruptcy which somehow neglected a $ 491 million financial hole which will haunt the city with a vengeance in 2024? Half the city’s annual budget. Or the refusal of Michigan government units at all levels to even consider tax reductions due to the simmering public employee pension catastrophe? Those pensions enjoyed by members of the administrative state are but a distant memory to the Michiganders who pay them.  Indeed, all of Michigan’s units of government are jacking up fees to get around Headlee Amendment taxation limits.

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Do The Dance

It's that time again. Beg your king for tax forgiveness.

Perhaps someday, we won’t have to ask permission to opt out of buying our business equipment over and over.

For the time being however, if the business related property you own is less than $80,000 in true cash value, you must.  IF you don’t feel like paying property tax on it.  Our benevolent overlords have made it possible with Michigan Department of Treasury form 5076; that ‘golden ticket’ for small business which relieves them of the perpetual financial burden of fixture ownership.

Of course it is hardly an everlasting gobstopper of taxation relief. the 5076 form must be filed annually, and specifically with your local township, city or village taxing unit.

You have until February 10 to turn this sucker in.

You’re welcome

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Nolan Finley really should come out of the closet.

Supporter of Detroit bailouts and special Detroit tax hikes, a non-libertarian “Libertarian” for president, noted contributor to the democratic party and now this.

This latest rant might have been credible if it weren’t for this.

I’d post that clown pic of him right about now…if I didn’t find that demeaning to actual clowns whose job it is to get people to laugh on purpose.

‘Nuff said.

 

 

 

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Fear The Stupid

No matter how crazy some tax scheme is, never underestimate the power of stupidity in large groups.

So we thought Michigan’s newly implemented gas tax was bad?

Sure, the road tax puts us at the most expensive gas tax level in the country.  And because of the idiocy of OUR large groups in Lansing, it even protects itself for inflation!  But even so,  our absurd taxation scheme has been relegated to second place in absurd tax schemes.

If Michigan were to follow the lead of Philadelphia (which I think could somehow happen), every six pack of coke 16.9oz bottles would have $1.52 tacked on.  Every Pepsi 8 pack would have $2.03 added on.

And Gatorade?

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26 Cent Gas Increase?

We expected the gas tax increase to bring about a $0.07 gas, and $0.11 diesel bump, but ..

We are getting reports from around the state show increases are a little higher.  In Traverse City, Gasoline that was at $2.33 per gallon jumped to $2.47, and stations with  $2.35 gas jumped to $2.59.  It seems there is some confusion caused by the GOP led legislature’s ‘Christmas’ present of 2015.

What is happening where you are at?

 

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More Trouble With TIF

Traverse City enables more cronyism in its latest money grab.

Does a Tax Increment Financing (TIF) scheme really work?

It seems that each year, special TIF districts are set up throughout our state in order to promote growth or development of a particular economy or industry.  The revenues raised through a TIF scheme are theoretically targeted, specifically for the district raising the value of that district over a specified period of time.

But does it work well enough and is it worth the effort, and goodwill lost, as it continues to be abused by those who hold the authority?  As voters look at the millage requests on the ballot, they now see the language that reminds them that not-all-of their voted in millage will go where it is intended.

A TIF scheme is done by

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