Thursday, April 17, 2008

Has A New Los Angeles Personal Income Tax (City Tax) Already Been Worked Out?

Back in September of 2007, Captain Jack Sparrow started to blog on Mayor Sam's blog about a new personal income tax scheme that City Hall was planning. Plus, someone sent ZD some interesting emails containing information from old City Council memos that shows how they may try and pull this again. (Look to the past to help predict the future.)

So today, I see Captain Jack posted this on Mayor Sam's blog:

The City income tax has already been worked out, and now only a motion is needed to put it on the ballot for November. We hear that it’s a 2.5% tax on income over $35,000 per year which would put at least $875 per income earning person into City coffers per year.

I guess we'll have to wait and see.

Here's the original post, based on the memo someone sent me about this:

Look to the past, to see the future. Especially when the past and present includes Villaraigosa "consultant" Richard Alatorre.

Zuma Dogg was pondering...if the City is $500-$700 million short on this year's budget...where is the money for the “to be announced” salary increases for the City unions? (And all the other problems a $500-$700 million budget "DOH" will cause.)

So ZD had to dig up an old document from 1993 someone sent me, which cites a proposal for a payroll tax on all people who work in the City of Los Angeles. It doesn't specify taxing just City employees, but EVERYONE who work within the city limits. This would probably include Federal, State, City, and County employees. It would also include all employees working for companies in the private sector (such as banking, service industries, fast food, construction, education, small employers, et al).

In '93, City Council approved the tax, but it was dropped due to intense negative constituent reaction.

Villaraigoza and the present City Council are not the first to re-name taxes as “fees”. This “name change” was actually thought of in '93, while Council was considering a city income tax. The ‘93 Council was thinking of renaming the city income tax as an "occupational license fee." (LOL!) According to the document I am referring to, the same idea for a city income tax had been considered before by the City Councils of 1983 and 1991.

But now, we have a bunch of no-scruples, corrupt politicians running the City – and they don’t give a F*CK.

CURRENT LA CITY STRATEGY: Take as much money out of the city coffers as possible until it’s all about to cave in like an “Enron House of Cards” – then just think of every and any tax, fee, hike, bond – for any and everything to help make up the difference. Who cares about tomorrow…you’ll be on to the next elected position, and it will be too late.