[Schaumburger]

There's been a push to consider a "fair tax" policy for Michigan. What does everyone think of this idea? I don't think this will be a cure all to attract business as what is being alluded to in the article.

Under the plan, Michigan residents would no longer pay a 3.9 percent income tax, but the sales tax would rise to 9.5 percent. Businesses would not pay tax. The hope under this plan is that Michigan would be such an attractive place to do business more employers would come here.

From: http://woodtv.com/Global/story.asp?S=6467240

[M TYPE X]

I like it that Michigan sales tax is currently lower than Illinois or Ohio. However, there is a point to be made about the state income tax: high.

[moods]

You have got to be kidding me, who in their right mind would want to pay more taxes? Simply move to Canada if that is your desire. Hasn't our state government proved that they do not know how to balance a budget or be judicious with revenue?

The economy in Michigan is so challanged, I can not honestly believe a single person would think raising taxes would help.

I vote NO for more taxes. I will contribute to charities and causes of my own; thank you very much.

[emailvasally]

I dont know if this is similar to the "fair tax" that some people are pushing for the entire U.S. if it is I highly reccomend getting the Fair Tax book by Neil Boortz (sp). In the end I totally support it. Prices will go down becuse their will be no more imbeded taxes. The only problem is if it is only 1 state that seems pretty high becuse you will still be paying all of the federal taxes.

across the board I would agree 100%

[Schaumburger]

Originally Posted by moods

You have got to be kidding me, who in their right mind would want to pay more taxes? Simply move to Canada if that is your desire. Hasn't our state government proved that they do not know how to balance a budget or be judicious with revenue?

The economy in Michigan is so challanged, I can not honestly believe a single person would think raising taxes would help.

I vote NO for more taxes. I will contribute to charities and causes of my own; thank you very much.

Did you not read the article? This would remove all business taxes, income taxes, etc. BTW, I'm not too sure raising taxes right now would hurt our chances like everyone is mentioning. Michigan is of course a LOW tax state anyway.

[magellan]

The main problem I have is if they do away with all business taxes, and shift all the burden to taxpayers, why is that going to make Michigan more attractive? Companies might be hiring, but who will move here (or stay here) to take the jobs if they have to pay a lot more sales tax? Chicago and Atlanta are two cities that I can think of with sales tax almost this high. Bad idea.

They need to look elsewhere IMO.

[Angel Bear]

I don't think it will solve our economic woes as a State. Won't it affect our spending on consumer goods and products and services? The latter is needed to help our economy IMHO.

[Schaumburger]

Originally Posted by magellan

The main problem I have is if they do away with all business taxes, and shift all the burden to taxpayers, why is that going to make Michigan more attractive? Companies might be hiring, but who will move here (or stay here) to take the jobs if they have to pay a lot more sales tax? Chicago and Atlanta are two cities that I can think of with sales tax almost this high. Bad idea.

They need to look elsewhere IMO.

Since profits and income wouldn't incur tax then this would place burden on one single tax. I think that's the problem -- having all your eggs in one basket.

Using this as a business development tool won't work. Why do some people still insist that Michigan race to the bottom of the tax ladder? Don't these people realize people are business capital also?

[JeffGray1978]

Originally Posted by moods

You have got to be kidding me, who in their right mind would want to pay more taxes? Simply move to Canada if that is your desire. Hasn't our state government proved that they do not know how to balance a budget or be judicious with revenue?

The economy in Michigan is so challanged, I can not honestly believe a single person would think raising taxes would help.

I vote NO for more taxes. I will contribute to charities and causes of my own; thank you very much.

Reread the original post and maybe your reply wont be so ignorant. They are talking about raising sales tax but droping state income tax. I think that it is a good trade off with not a whole lot of out of consumer expense that may be more inticing to businesses due to them not needing to pay tax.

[southernlady5464]

The big problem is the perception...

IF you have your income tax deducted out of your paycheck before you get it, you don't seem to miss it as badly. Having to fork it over every time you buy something makes it SEEM harder to deal with.

There is just something about not seeing the money actually in your paycheck to not miss it as much.

I suspect it will cause less tourism in the state cause the burden of taxes will also fall on the visitor buying anything in state from gas to food and other stuff. Liz