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 Earnings tax hurts families, businesses

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Earnings tax hurts families, businesses Vide
PostSubject: Earnings tax hurts families, businesses   Earnings tax hurts families, businesses Icon_minitimeSun Oct 10, 2010 7:21 am
Having maintained residence in both Cape Girardeau and St. Louis for many years, one need not be an economist to see the negative impact of a city earnings tax. It is one of the most egregious taxes that burden families and business. It is for this reason I support Proposition A.

Unlike St. Louis, Cape Girardeau does not have an earnings tax; however, current state law would allow policymakers here and in other townships to impose one without regard to the economic impact on business and family. Proposition A would protect Missourians from any new earnings tax and allow our fellow Missourians in St. Louis and Kansas City the right to vote and decide for themselves if they want to continue the earnings tax or phase it out gradually.

Over the last 20 years, we have seen many corporations and business leave St. Louis. The earnings tax was just another catalyst in their departure and most certainly not an enticement to remain or relocate to the Greater St. Louis and Kansas City areas. These cities are the economic engines that drive our state economy and we can ill afford to chase business away with a third layer of taxation. Thus, the earnings tax in Kansas City and St. Louis undermines the incentive to work, earn and produce and equally undermines an important socio-economic process-savings and capital formation.

I believe it is incumbent upon lawmakers and democracy to let voters decide.

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