Idaho must consider targeted tax increase

In these hard times, the state is facing more cuts in services. A Democratic legislator, Shirley Ringo, has proposed a temporary 5-percent surcharge (tax increase) on individuals’ taxable income in excess of $50,000. It would raise about $44 million a year. As you might expect, the governor, who called the increase class warfare, has rejected the idea.

What he really means is that he doesn’t want to go the war with his supporters among the wealthy and business classes. Easier to wage war on those who are less able to defend themselves.

It’s not the rich who get hurt by most cuts in government. It’s the poor and working class people of Idaho who are not well represented.

Here’s a typical example, Children’s Supportive Services says it is no longer providing treatment to about 100 Eastern Idaho children with severe emotional disturbances, due to state budget cuts.

Several leading economists, including Joseph Stiglitz and Paul Krugman, both Nobel Laureates, believe that, in a recession, cutting spending can do more harm than raising taxes. Economists also say that state spending cuts result in at least half the job losses occurring in the private sector.

One of the reasons I believe we are in such difficult straights today is Idaho’s consistent, long-term policy of tax cuts or shifts for the benefit of business and top bracket individuals coupled with stop gap increases in a regressive sales tax that includes food.

So, the real problem is that our leaders are unwilling to tax those who can afford it, to prevent cuts in programs for those much less fortunate. We have reduced spending on education for the first time in a generation. We are also cutting other programs that benefit the poor, particularly Medicaid.

The Legislature must seriously consider a targeted tax increase.

BOB WYNHAUSEN

Sandpoint