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    Who are the NERD fund donors Mr Snyder?

    Raise the curtain.

    Just For Being Here

    By JGillman, Section News
    Posted on Mon Jan 13, 2014 at 10:15:29 AM EST
    Tags: Policy, Taxes, PPT, TPP, Business Equipment Tax, Luxury Tax, Private Property, Ownership, Budget Surplus, Michigan (all tags)

    Business is punished for operating in Michigan.

    Its actually been punished in 39 states as of 2012 by way of personal property tax on business.  Equipment, shelving, tools, furniture, etc..; bought, then taxed at 6%, then repeatedly taxed as 'wealth' like non-homesteaded property. In this way, business owners are told (as they are with smoking laws, work rules, and being converted to tax collectors) they really don't own JACK.  None of it is under any absolute control, and frankly if the Business owner doesn't make a buck?  They are still told to "Cough it up sunshine, you owe what you owe."

    Just for being here.

    And its not just the cost of having stuff laying around that punishes the Michigan entrepreneur.  As is the case with many government rules, its the cost of compliance. The Tax Foundation writes:

    "TPP taxation is "taxpayer active," meaning that individuals and businesses must fill out tax forms listing all of their taxable personal property, adding a compliance cost to the total cost of administering personal property tax. This is in contrast to real property taxation, which is "taxpayer passive": a statement valuing the land, improvements, and property tax owed is sent to property owners, alleviating compliance costs while adding some cost for government to administer the tax."
    In a nutshell; "here are your manacles, make sure you clasp them securely around both ankles.."

    But relief could be in sight soon. The state of Michigan will have a surplus.

    "The Senate Fiscal Agency projected $1.3 billion in increased revenue over a May 2013 estimating conference. House Fiscal pegged the number at $1.1 billion, while Treasury offered a more conservative $708 million, citing uncertainty over unclaimed Michigan Business Tax credits."
    The conservative estimate might be light, but the $1.3 billion surplus estimate easily reaches the $1.2 billion in PPT revenues each year.

    Given the compliance costs can be transformed into profitable effort of growing business, and the added incentive for business attraction, (particularly to manufacturing and its associated equipment expenses) job growth could well explode going forward.

    Its time for legislators to step up, and do a wholesale elimination of what has been considered (2nd only to the repealed MBT)  "the second dumbest tax in Michigan."

    < Zero Tolerance | Breaking - 1st Congressional District Republican Faces Primary >

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    Never let a crisis go to waste (none / 0) (#1)
    by Corinthian Scales on Tue Jan 14, 2014 at 04:13:59 PM EST
    Here's where a huge chunk of that surplus is going to be wasted.

    John Hertel, the first CEO of the Regional Transit Authority who also refused to sign his contract because of the lack of funds to hire staff, announced he's bowing out permanently.

    A statement released by Hertel, who is the general manager of the Suburban Mobility Authority for Regional Transportation (SMART), made mention of preparing for the suburban transportation agency's millage this summer as the reason he is holding onto his current post.

    "I am pleased to have been involved for the last seven years moving the Regional Transit Authority process along to this point," his statement read. "I also appreciate everything the RTA Board members have done and are doing to make major transit improvements in southeast Michigan. I look forward to continuing my work at SMART and cooperatively supporting the efforts for improved regional transit in southeast Michigan."

    Hertel's surprise departure just one day before the RTA board is scheduled to hold its first board meeting of the year comes as the transit authority is eyeing whether to seek voter approval this fall for the first leg of a bus rapid transit project slated for Woodward Avenue from Detroit to Pontiac. The route is being finalized and a recommendation is expected to reach the RTA board for approval this spring.

    Although his statement made no mention of the RTA's struggles to find funding so that he could hire staff, Hertel told The Detroit News on Monday that funds still had not been granted by the state. He and other RTA officials had been lobbying in Lansing for months for additional money.

    Pandering big government Progressive boobs like Bolger and Richardville will comply.

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