Thursday, September 09, 2010

Goddard Embraces Obama’s Increased Spending Mantra

Goddard’s idea of taxing every transaction would mean tax increases to doctor’s visits, dental visits, prescription drugs, and many more items

PHOENIX –– After years of overspending, Governor Jan Brewer took over and permanently reduced the size of government by nearly $2.2 billion – more than any Governor in state history. Brewer restored fiscal certainty to the budget process and helped the state back to realistic spending levels.

“I am proud that we have taken the steps necessary to stop the budget spending spree,” said Governor Brewer, “We are now living within our means and have balanced our budget. They were tough choices, but the right choices to return to economic prosperity.”


Terry Goddard, on the other hand, continues to refuse to reveal any detailed plans of his own on how he would balance Arizona’s budget or what spending reductions he would be willing to support to align expenditures with revenues. Like President Obama, Goddard proposes plans to expand government, while leaving very few hints on how the taxpayers would be able to afford these new massive government interventions. View the video.




In a recent press conference, Goddard mentioned taxing every transaction to raise $10 billion in revenue where “we surely can find enough” to cover his costly ideas. Goddard sticks to these vague references to various tax exemptions to make his point because reality is far more chilling. By repealing the current tax exemptions, Goddard is essentially taxing everything that isn't currently taxed by the state such as groceries, doctor’s visits, and dentist visits to name a few.

Here are the larger ticket sales tax exemptions that Goddard would have to tap to come even close to the budget revenues that he and fellow Democrats project:

Terry Goddard and Democrat Proposed Tax Increases:

Groceries - $527 MILLION
Doctor Visits - $285 MILLION
Dentist Visits- $84 MILLION
Prescription Drugs - $295 MILLION
Nursing Home Services - $106 MILLION
Beauty Salons/Barbers - $18 MILLION
Funerals - $9 MILLION
Pet Care - $2 MILLION
Lottery Tickets - $24 MILLION
Legal Services - $135 MILLION


“Obamacare would cost the state of Arizona another $11 billion over the next ten years. If that isn’t enough of a healthcare burden, Goddard wants to go further by taxing doctor visits, dentist visits and prescription drugs. It’s the only way to come even close to the astronomical numbers he continues to quote.” said Doug Cole, Governor Jan Brewer 2010 Communications Director.

In addition, there are several other categories that fall under the tax exemption categories that would be troubling to students, small business owners, and other service providers. When Goddard says that he wants to remove all exceptions, here are the other areas that would be directly impacted.

Additional exemptions that Goddard may tap:

Tax on accountants
Tax on Rentals

Tax on sales of stocks/bonds
Tax on Eyeglasses /
contact lenses
Tax on Hearing Aides
Tax on School Textbooks
Tax on School Lunches
Tax on Satellite Television
Tax on Ambulance Services
Tax on Advertising
Tax on Tuition for State Universities and Community
Colleges
Tax on HOA Fees
Tax on Purchases made by Nursing Homes


"While the idea of exemptions may sound innocuous, reality is that if Terry Goddard wants across the board removal of exemptions, he is imposing a new 6.6% tax on groceries, eye glasses, tuition, prescription drugs, on down the line. Now people will be taxed on the rent that they pay and on the fees they would pay to their HOA?
They would also be taxed on the escrow fee upon selling or purchasing a home. These are simply outrageous,” said Phoenix City Councilwoman Peggy Neely, “It appears that Goddard has failed to offer any specifics time and again because his real plan is a massive increase in taxes.”


Paid for by Governor Jan Brewer 2010

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