As you all know by now the price of oil is way down. As a result of course your tax bill will be lower if that's anything to enjoy out of this.Do we have any representation as tax payers where those that pass taxes think it out first? For an example.
Kasich wanted to have a budget that called on a severance tax that would not only apply to the O&G industry in Ohio but to land owners as well. Help me out on this. Was the severance tax supposed to be set upon the value of the output of the well on US oil prices? Or was the severance tax based upon a set value of the output?
As you can well imagine this severance tax idea would be putting Ohio into the RED real quick. You can not cut taxes and expect to make up the difference in wishful thinking. So how long will it be till the politicians come up with a new tax?
Some taxes are idiotic and have proven to be counter productive. A good example is taxes upon tobacco. We will tax our gravy train tax on tobacco to reduce smoking and the so called expenditures on health care. Ooops you reduce consumption of tobacco you reduce the tax revenue and you cut into the health care funding the tobacco taxes pay for.
Anyone recall the National 55 MPH speed limit? The idea of course was reduce consumption which limited tax revenue. Then on top of that the government demands increased fuel mileage of vehicles which further reduces taxes. So to counter the loss Obama jacked up the speed limit to 70 MPH.
Perhaps we as voters can use this logic to demand our legislators to think along the lines of cost cutting. Haven't we all had to reduce our standard of living? Why can't the government?
A better idea of the severance tax Kasich wanted is here http://www.opportunityohio.org/governor-john-kasichs-claims-on-his-...
Now what would those figures look like at todays oil prices?