PF: Overpass a tax nightmare
It took this simple guy a while, but something finally just dawned on me when I read that a bond is being considered for a freeway overpass in Post Falls.
I used to understand and believe the reported logic that when a population increased in a particular area, the tax base would also rise and spread out the cost of government and government projects among the population. WRONG.
When the number of actual income taxPAYERS is less than the number of people who pay little or no income tax, it only makes sense that the tax burden can only increase on those who actually pay taxes (who are still outnumbered).
You see? Under this scenario, taxes MUST go up (NOT down) for the minority of the population actually paying them because they carry the burden for the majority who do not pay their own way as much or at all. (Never mind about additional government expansion projects.)
So, when the government cannot live up to its expectation to, for example, build a freeway overpass in Post Falls, local authorities may resort to a bond issue.
Who pays for that? Oh! Although bond issues are usually spread out somewhat more among the tax base, it’s again the relative minority who already pay taxes. Who gets to vote on those bonds? Oh! Everybody! It’s partytime when the majority (who pay less or no income tax) get to vote on how the minority (who pay more than their share of taxes) spend their money.
GREGORY SAMSON
Coeur d’Alene