VPR Commentary: Tax policy perspective

first_imgVermont Public Radio Commentary. Monday June 22, 2009McQuiston: Tax policy perspective LISTENBy Timothy McQuiston(HOST) Commentator Timothy McQuiston suggests that when you hear politicians talking about taxes, it isn’t so much about fairness, it’s about jobs.(McQUISTON) Tax policy is all in your perspective, it seems to me. While the Legislature has focused on the property tax and the direct impact it has on local constituencies, governors have generally looked at the bigger picture and the income tax.In the latest, harrowing row over the state budget, which resulted in the first-ever budget veto, the Legislature cut the income tax, albeit slightly, for anyone making under 200,000 dollars and raised it for everyone else.Governor Douglas proposed lowering the highest marginal rate for income over 375,000 from 9.5 percent to 9 percent – and you might well be wondering, “Why?”Well, take the case of golfer Tiger Woods. Tiger’s participation in the US Open at Bethpage Black in New York State, means that he will have to pay New York state income tax on whatever prize money he wins. But Tiger officially lives in income tax free Florida. So if he has to pay income tax where he earns it, why not live in his home state of California? Because Florida, like New Hampshire, is tax free for earned income.Tiger makes a bundle on the PGA tour, but most of his income comes from endorsements and other non-prize money sources – video games, golf equipment, clothing deals. Heck, Tiger could live in New Hampshire. All he’d need to do is stick around for six months and one day in the Granite State. But I suppose the Sunshine State offers more opportunities to work on your game.In Vermont terms, what Governor Douglas and his predecessors have been concerned about, is that business owners and other top managers make decisions about where to locate or expand a business in part on how it affects their own wallets. And if they move their business out of state, jobs go with it.If your adjusted gross income is one million dollars, you’re going to pay $51,000 in Vermont taxes. If your income is 100,000 – still a nice income – your tax will be only a little over 3,000. But if you move your company over to New Hampshire, you’ve essentially given yourself and your employees a nice raise without having to increase payroll one penny.It makes you happier; it makes your employees happier; and it makes the State of New Hampshire happier. In recent years, both Howard Dean and Jim Douglas have fought the Legislature over the income tax for these very reasons.It’s clear that many business owners are willing to pay more to live here – sometimes a lot more. Others have no choice because of the nature of their business and they either like it or lump it. But make no mistake – the lure of “tax free” is very real.last_img read more

Warner hails ‘world-class’ Archer

first_imgBy Peter HallLEEDS, England (Reuters) – Australia batsman David Warner described England fast bowler Jofra Archer as “world class” after he picked up his first five-wicket haul in Test cricket to help dismiss the touring side for 179 in the third Ashes Test yesterday.Barbados-born Archer, who made his Test debut in the last match at Lord’s, ripped through the Australians with figures of 6-45 on a weather-affected opening day to put England in command as they look to level the series at 1-1.Warner, who scored his first half-century of the series before falling to Archer for 61, was full of praise for the 24-year-old, comparing him to Dale Steyn, South Africa’s all-time leading wicket-taker. “That was incredible Test bowling,” Warner said. “England put the ball in the right areas.“He bowled at bit like Dale Steyn with the new ball, tried to use the conditions and ramp it up when he needed to. It was world-class bowling at its best.” Archer struck early to remove opener Marcus Harris in damp, overcast conditions, but Australia recovered after a rain-affected morning session to 136-2.Backed up by Stuart Broad, Archer then turned the match in England’s favour. Bowling at a slightly slower pace than he did at Lord’s, Archer said his style reflected the conditions.“I don’t need to run in and bowl 90 (miles per hour) every spell to get wickets,” Archer said. “It has shown that today.“There will be times in Test matches you have to focus on hitting your length. There will be times to ramp it up as well but you don’t have to go into it every innings. “These are things you train for. If you train hard you will be rewarded. We bowled well as a team at Lord’s, luckily enough for us it happened today.”Australia need one more win in the five-match series to retain the Ashes urn for the first time in 17 years. But, in the absence of the tourists’ leading batsman Steve Smith, England are looking to seize their chance to restore parity, and former Australia paceman Glenn McGrath believes Archer can be the difference.“I dare say Jofra Archer will be getting a fair few more five-fors in his career,” McGrath told the BBC. “With him, England could win this inside three days.”last_img read more