Governor Rell today presented a “compromise” budget. It still protects the rich.
The Governor’s fourth budget plan cuts spending by $520 million, eliminates the “inheritance” tax, reduces the sales tax from 6 percent to 5.5 percent and exempts small and medium-sized businesses from the temporary 10 percent corporate surcharge proposed in her last budget plan and the Democrats’ last plan.
On the revenue side, this plan calls for increasing the income tax to 6.5 percent on individuals earning $500,000 per year and joint filers earning $1 million or more. The plan would also increase the tax on cigarettes from 2 to 3 dollars.
How outrageous is this? The governor generously agrees to tax family income of the rich she has so hard tried to protect, but only those making, after deductions, OVER $1 million per year. But wait, she gives even that back by ELIMINATING THE ESTATE TAX. The Estate TAX is due only on estates of MORE THAN $2 MILLION.
In exchange, the Governor is requiring that Democrats identify an additional $520 million in spending cuts.
How ridiculous is that? She runs the state government (theoretically). Shouldn’t the people who run the government identify places where spending can be cut, NOT the legislature? This is passing the buck, literally, in a big, big way – and its all politics, nothing else.
