Thursday, April 23, 2009

Yet another stupid Republican bill: Eliminate the income tax for college graduates

(HT: Weapons of Mass Discussion... even though no discussion ever occurs there... let alone a mass of it.)

There's apparently an epidemic among Ohio Republicans to suddenly repeal the state's income tax.

State Representative Cheryl Grossman has now introduced House Bill 44 which would eliminate all State income tax liability to any resident in Ohio with a Bachelor's degree for the first five years after graduating:
“The state of our economy in Ohio is burying our college graduates with an alarming amount of debt,” Grossman said. “Eliminating graduates state income tax liability will allow them to use their extra funds to help pay for their student loans and other debts incurred during college. This bill will also attract college graduates from other states.”

House Bill 144 specifically allows individuals who graduate from any institution of higher education, and who are residents of Ohio, to claim a state income tax credit equal to the individuals’ net tax liability for up to five years. Graduates will have one year from graduation to apply for the tax credit through the Ohio Board of Regents. If a graduate leaves Ohio within the five years, he or she will be required to pay back the amount of tax credit received.

“The loss of jobs throughout the state is creating a panic among college students and recent graduates who are looking for employment,” Grossman said. “It is well known that the lack of jobs and taxes are causing our states brightest individuals to take up residencies in other states. This bill is an incentive for our graduates to stay in Ohio.”

Um, and after five years, what happens? If this is a bill to "keep our kids" in Ohio, then why do people who get degrees outside of Ohio and never lived in Ohio until after they graduated get to claim the credit? You know what would keep students in Ohio? Make in-state tuition in Ohio less expensive than going to school out-of-state. You know, like Governor Strickland has been doing after a decade of largely unchecked skyrocketing tuition in Ohio under Republican rule where students could get a quality college education cheaper outside of Ohio than in it.

Incidentially, here's Cheryl Grossman on Governor Strickland's proposal for a high-speed passenger rail in Ohio during the recent transportation budget debate:

"I'm not saying that I'm opposed to passenger rail, but show me the numbers," said Rep. Cheryl L. Grossman, R-Grove City.

Yeah, how does Grossman plan on balancing the budget with this massive tax cut? She doesn't. This is the Republican playbook. Publicly question the Democratic Administration's fiscal responsibility while debating a balanced budget while introducing massive financial commitments with absolutely no plan on how state government can afford them.

It's simply laughable to hear this woman talk about fiscal responsibility to justify opposing a transportation budget which will create jobs and is fulling funded and then turn around and introduce a major income tax cut with no plan on how the State can compensate for the obvious loss of revenue.

Incidentially, when she was Mayor, Grossman actually applauded not just federal government spending for transportation, but getting earmarks for such projects (but earmarks are okay if they're Republican earmarks.) You can't watch these video clip in that context and not laugh.

This is the Republican Party's plan to power: 1) Hope people forget what we've done; 2) Sound to people that our criticism is genuine and an alternative approach that is more responsible; 3) Repeat step 1.

1 comment:

Jill said...

Possible GOP candidate for state treasurer, State Rep. Josh Mandel, would like to abolish the state income tax for all Ohioans. There's a lot of info in that post about an analysis the Dispatch did a little less than a year ago re: what it would mean to scrap the income tax.

And, on the other hand, he's also the co-sponsor of a tuition-forgiveness bill intended to attract and keep students in Ohio, HB 123.Here is the bill analysis for HB 123 but there are no fiscal notes yet. Seems to me that those would be the most important part to be posted for viewing by Ohioans since the reason this bill is being proposed is because of its alleged and eventual fiscal impact on Ohio.