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Addressing Income Tax Thievery by the State of California

by: douglas v. gibbs | published: 12 13, 2009

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Last November the State of California began acting upon a new scam to suck more money out of the populace. The state is broke because the leftist progressive idiots of California's government can't seem to budget. The thievery is being accomplished by increasing the income tax withholding allowance by 10%. By taking more money out of our paychecks, the state is literally taking more taxes, while calling it something else. Problem is, the tax is being withheld unconstitutionally, and illegally.

The State Constitution of California requires a vote to approve any increase in income tax. A vote never went to the State Congress. The governor and his cronies decided, without asking anyone, to increase tax withholding, claiming that technically it isn't a tax because they plan to give it back at tax time.

What's the difference between borrowing without permission, and stealing?

California is broke, and the government hacks are running around in circles trying to figure out how to save the state. They can't print money like Obama is doing, they sure as heck are not going to cut spending, and they know darn well the voters would never approve of a tax increase - so they resolved to take the money - and to do so during an economic down-turn when for most people every penny counts in their already difficult to manage budget.

This "forced" withholding is thievery. The State of California is stealing from the populace, and doing it without our voice allowing it.

An important point here is that this is not just a local California problem. Remember the old saying? As California goes, so goes the nation.

How long before other states get the same idea? How long before the federal government catches on and does the same thing?

The officials say that 10% is only a small amount. But as I said earlier, for those counting pennies it could mean the difference between paying bills or not, or even being able to buy food.

And how will business owners respond to this? Will they just allow themselves to take home less income as profit? Of course not. The difference will be made up through higher prices.

So, while the economy struggles, the average Californian faces less money in their paychecks, and a rise in prices, all because California can't run a budget, and has decided that thievery is the best way to delay their inevitable journey to bankruptcy.

How much does this ten percent mean to the average Californian?

For a single taxpayer earning $51,000 a year with no dependents, the state is grabbing an extra $17.59 each month. A married person earning $90,000 with two dependents is receiving $24.87 less in monthly pay.

Experts are expecting California to continue to collect the tax at a higher rate for many years, too, without ever taking a vote!

As for the promise to pay us back, how does a broke state do that? IOUs?

Some folks have figured out that there is a way around it. It is possible stop the increased withholding by adjusting the number of personal withholding allowances claimed on employer tax forms. But why should I have to do that, and how many people know to do so?

The largest concern is that this decision to steal from Californians comes at a time when the holiday shopping season in full swing, and parents are scrimping together their pennies to pull off a decent Christmas for their kids. It also is coming at a time when many small store owners depend on these consumers, who now have less in their paycheck, to keep their businesses in survival mode.

Consumer spending is already struggling, and California has been hit harder than most states. If Sacramento wants any kind of economic growth, this is not the way to do it.

As I said already, every penny counts, and they are simply making it harder for citizens to survive. This is a great example of government doing whatever it wants for its own survival, at the expense of the citizens, short of cutting spending.

The progressives still don't get it. The problem is not a revenue problem, it is a spending problem.

Tonight, my guest is Philip Tirone of 7 Steps to a 720 Credit Score , and he is on fire about this move by Sacramento. In fact, he is so angry about it that he has a petition out there designed to bring attention to this issue. The Petition is at No To Sacramento dot org . Sign it, and then tell your family, friends, and as many other people you can. This needs national attention, and tonight's radio program is the first step in that direction.

Join us live at 7:00 PM Pacific, or catch the archive later, as we discuss California's willingness to steal from the people.

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