Today's budgeting choice is one that we make regularly.
The state can restraing the spending side or it can reach for more revenue from our citizens.
In HB 1 some of both was done.
The voluntary tax on expanded enticement to gambling is not wearing well. So here we are.
We've heard the line that if nothing is done by this legislature the whole projected shortfall would come out of the hide of funds for operating our schools. Yes, and that's why I know of no one who is proposing "no action" as a reasonable option for this legislature.
So that is just a "boogy man" argument that tries to district us from real options before us.
We can go after the taxpayers or we can go after spending restraint.
I respect the very different perspectives of our members on this topic. And, I appreciate the discussion we had for a few hours in Finance Committee Monday afternoon and yesterday morning. Thank for that, Mr. Chairman.
Our efforts there and today are to more the focus onto cost containment and off of what we be3lieve would be a drag on Ohio's economic turnaround.
A vote today for this bill is a vote to raise the personal income tax for this calendar year and year on working and retired Ohioans. That is a drag on our economy.
But there is an additional way that it would hold our economy back.
A substantial portion of the state income tax is actually a business tax. Most businesses that are not a C-Corporation pay the personal income tax on their net income because they are Schedule C sole proprietorships, or they are pass-through entities, like partnerships, LLCs or S-Corporations.
Regardless of whether they reinvest their net income into attempting to sustain and grow their company, it is taxed as though that net income were fully distributed out to the partners.
And that means that a YES vote today on this bill is a vote to add a restraint to Ohio's economic recovery.
That's an important reason why it is better to focus instead on cost containments. Unfortunately our economic base has shifted negatively and state government must shift with it, using this as an opportunity to change the way we do business and make changes that are difficult, but necessary and overdue.
There has been much talk about how much the budget has been cut. Some portions of the budget have been subject to cuts.
Paid for by Citizens For Amstutz, Matthew Hochstetler Treasurer, 4456 Woodlake Trail, Wooster, OH 44691