Thursday, August 24, 2006
Posted by The Dean of Cincinnati
This week, Tom “Tax Killer” Brinkman seemed caught in a dilemma when he said he never supported the Heimlich Jail Tax, and then got caught on tape saying he would vote for it. The Cincinnati Beacon engaged further dialogue with Representative Brinkman, trying to get to the bottom of the plan and his position. Long story short: Brinkman supported the twenty year sales tax because it had a substantive property tax rollback; he does not support the ten year plan that will actually be placed on the ballot.
Concerning the original proposal, Brinkman said, “It was a huge property tax cut and a little sales tax increase. The NET effect was great for Hamilton County residents.” When asked about supporting a sales tax from an anti-tax perspective, Brinkman said that sales tax is consumption driven. “Everyone has to pay it, rich or poor,” he said. “Buy more taxable stuff and you pay more. It does not tax, food, energy, health care, or tuition. Property tax penalizes those who save and invest. We should encourage more savings and investment particularly investment in a home.”
So Brinkman wishes to clarify that he has two different stances concerning Heimlich’s two different jail tax proposals. He supported the original proposal, since, according to Brinkman, “it was an overwhelmingly good deal for the tax payers.” He said, “I checked many folks on fixed incomes, the seniors and first time home buyers, and it was good all around. That is why, once again, I called it a property tax roll back at the the Memorial Hall roll out. The cut was much more than any minor increase.”
Brinkman emphasizes that this overall savings is no longer the case with Heimlich’s latest proposal. “I have been briefed on these numbers and it is NOT the same plan as the first one,” said Brinkman.
According to figures obtained by The Cincinnati Beacon, given the average amount of money spent by households on taxable expenditures yearly, a property owner would need to own several hundred thousands of dollars worth of property to see a gain offset from the property tax rollback as compared to the sales tax increase. The savings increased dramatically when property was valued over one million.
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