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Tax Watch!Tax Watch is the Tax Foundation's quarterly tax policy
newsletter, presenting summaries of their economists' latest research in a
simple, non-technical format. Sign up today!http://www.taxfoundation.org/taxwatch/
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TAX FOUNDATION RELEASE
From FCTO:Rise and shine Connecticut workers!It is off to work you go so you can make the
money which satisfies the gluttons who feed on your hard earned tax dollars at
the local, state and federal levels of government.In fact, you work longer - up to April 30,
2009 - than any of your counterparts in the United States as the following link
illustrates.http://www.taxfoundation.org/publications/show/387.html
The following
is a message from the Tax Foundation:
Tax Freedom Day® will arrive on April 13 this year, the
103rd day of 2009. That means Americans will work about three and a half months
of the year, from January 1 to April 13, before they have earned enough money
to pay this year's tax obligations at the federal, state and local levels. Tax
Freedom Day falls a full two weeks earlier in 2009 than it did in 2007. In
fact, not since 1967 has Tax Freedom Day come earlier than this year's April 13
date.
This shift has been
driven by two factors: the recession has
reduced tax collections even faster than it has reduced income; and the
stimulus package, a.k.a. HR 1, the American Recovery and Reinvestment Act of
2009, includes large temporary tax cuts for 2009 and 2010. Nevertheless, in
2009, Americans will pay more in taxes than they will spend on food, clothing
and housing combined.
While tax revenues are
falling, government expenditures are
expected to explode in 2009, also driven in significant part by HR 1. Tax
Freedom Day, like almost all tax burden measures, ignores the current year's
deficits. If the projected deficit for 2009 were counted as a tax, Tax Freedom
Day would arrive on May 29 instead of April 13-the latest date ever for this
deficit-inclusive measure.http://www.taxfoundation.org/publications/show/93.html
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BREAKING NEWS from USA
TODAY,A sweeping corruption investigation of public pension systems in New York expanded
nationwide…….. The charges represent the
expansion of an investigation that has focused on major players in both New
York and national political and business circles, including private-equity
giant Carlyle Group and Quadrangle Fund, the private-equity firm founded by
Steven Rattner, the Obama
administration's point man for the auto industry rescue. Continued at http://www.usatoday.com/money/markets/2009-04-30-pension-probe-new-york-dallas_N.htm
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Urge Congress To Pass Bill H.R.1207
The Federal
Reserve Transparency Act of 2009
The Bill is under review by the House Financial Services
Committee, which is Chaired by Congressman Barney
Frank.Contact Congressman Frank and
urge his support of this Bill.You can
reach Congressman Frank by calling the Capital Switch-Board and asking to be
directed to his office at: (202) 224-3121 or, you can call his main office at
(617) 332-3920.
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Congratulations
to FCTO Board Member Judy Aron
For winning her case before the State Elections Enforcement Commission.Judy is vice president of the West Hartford Taxpayers Association. She had alleged that
a PTO notice violated election law because town-financed equipment was used to
produce and disseminate a political message for a referendum question.The article can be accessed at the following
link…. http://www.courant.com/news/local/hr/hc-west_hartford-election-enforcemeapr29,0,4132634.story
May 4, 2009:The Farmington
Taxpayers Association cordially invites you to attend a presentation by Dr.
Armand Fusco, on Monday, May 4th, from 7pm-9pm at the Farmington Library.The presentation will entail details on how
to establish a Citizen Audit Committee in our/your
town. Dr. Fusco has worked with the BOE in Enfield (they have
completed their initial audit) and is currently working with the towns of
Redding, Trumbull, Monroe, Woodstock, Brookfield and New London in the
implementation and training of their citizen audit committees.He also just completed writing his manual
"How to Reduce Property Tax with Citizen Audit Committees" and will
be attending the annual Taxpayer's Convention in WashingtonDC
in June.Dr. Fusco is also a Board
Member of FCTO.
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Thank you to FCTO Board Member Tami Zawistowski of East Granby
for making us aware of the following….
Governor Paterson of New
York
Signs Executive
Order Regulating Spending by State Agencies!
The Regulation would make state agencies
publicly identify how proposed regulations or spending would impact local
governments and local property taxes, as well as what revenue would be used to
pay for the spending.
We cannot overburden governments with costs
that they cannot afford,
Thank you to Bob Green for his excellent
Letter To The Editor of The Day.Bob is a Board Member of FCTO…..
Upon my completion of reading the article titled, “State’s
Businesses Closing at a Record Pace” in the April 21 edition, I concluded that
the article might not have been properly titled.It should have been titled, “State Taxation
Policies Forces Closure of Businesses at a Record Pace.”The Connecticut legislature, in its solution
to close the ever-increasing budget shortfall, has once again taken the path it
chose in the 1980’s with a twist; placing the burden of balancing the budget on
the backs of business while running to Washington with its hand out to make up
the difference and pushing anti-smoking legislation against one of its primary
employers and major sources of state revenue.This time, however, Connecticut
no longer has industrial base it once enjoyed in the 1980’s.In response to the Legislature’s voracious
appetite for spending revenue, the companies that once existed here in the
1980’s have folded their tents and moved elsewhere where the business climates
are much more favorable.The commercial
exodus of companies, such as Perelli-Armstrong,
Allied Tank, Remington Ammunition, and a majority of the Pratt and Whitney
complex, brought us the 4-year temporary income tax, now in its 18th
year and two casinos to bring the budget in balance; however, the Legislature
failed to stem its feeding-at-the-trough mentality.With its infusion of new revenues from casino
winnings and income tax revenue, primarily from hedge fund investors, it
continued its feeding frenzy at taxpayer expense without the slightest
consideration for Connecticut’s
fragile employment base that has remained almost stagnant for years.
Now, almost twenty years later, with the hedge fund industry
on life support and casino revenues in decline, the Legislature, once again, is
grappling with the state budget with its flashback to the 1980’s
solutions.Businesses, already hanging
on by a thread, appear to be throwing in the towel, concluding that maintaining
a business in Connecticut no longer is a viable option.The businesses most impacted are the small
businesses that employ a majority of its citizens and as Secretary Bysiewicz calls, “the backbone of the Connecticut economy.”
Connecticut’s legislature, with its proposed 3 billion
dollars in new fees and taxes, appears poised to follow New York’s lead,
further fueling the acceleration of the exodus of its citizens for more
affordable surroundings.Additionally,
it saw the elimination of a congressional district after the 2000 census, and
its continued policy of casting blame over providing solutions can only
indicate that little concern exists over the loss of one more congressional
district that could result from the 2010 census.Robert M. Green, Member, Board of Directors,
Federation of Connecticut
Taxpayers Organization
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NEWS ALERTS!!!!!!!!!!!!!!!!!!!!
Senate Defeats Obama-Backed,
Anti-Foreclosure Bill
The Associated Press, Apr 30, 09: "The
Democratic-controlled Senate on Thursday defeated a plan to spare hundreds of
thousands of homeowners from foreclosure through bankruptcy, a bill President BarackObama embraced but did
little to see it through. A dozen Democrats joined Republicans in the 45-51 vote to scuttle the bill, which Obama
had said was important to saving the economy and promised to push through
Congress. But facing stiff opposition from banks, Obama
did little to pressure lawmakers who worried it would encourage bankruptcy
filings and spike interest rates." http://www.nytimes.com/aponline/2009/04/30/us/politics/AP-US-Mortgages-Bankruptcy.html?_r=1
Bill ‘re-regulating’ Conn.’s power market passes state House
Supporters say rates could fall 5 percent,
competitors say they offer rates far less than that, By Harlan Levy, Journal
Inquirer, April 30, 2009
HARTFORD — The House of Representatives on Wednesday approved a bill
that would “re-regulate” the power market effective Jan. 1.….Supporters of the proposal say the move to
restrict electricity choice — a hallmark of the state’s 1998 electric utility
deregulation law — could lead to a 5 percent or more reduction in electric
rates. …. “Under the bill, the state’s two electric utilities would be required
to buy electricity directly from the generators — as opposed to getting it from
semiannual power auctions for suppliers under the auspices of state
regulators.The bill also would require
customers with a maximum demand of less than 100 kilowatts — essentially, most
residential and small businesses — to get their power from either of the
state’s utilities: the Connecticut Light & Power Co. or United
Illuminating.That means that after Jan.
1, independent suppliers couldn’t sign up new residential and small business
customers.Continued at JI Website
Economy falls more than expected
The nation's gross domestic product fell 6.1%
in the first quarter -- nearly the same pace as the end of 2008, and a much
sharper drop than expected.
CNNMoney.com By Chris
Isidore, April 29, 2009: 10:27 AM
The U.S. economy shrank at an annual
pace of 6.1% in the first quarter -- almost as much as it did in the fourth
quarter of 2008, according to a government report Wednesday.The drop was much worse than expected.
According to economists surveyed by Briefing.com, expectations were for a drop
of 4.7% in gross domestic product, the broadest measure of the nation's
economic activity.The first quarter
decline was the second biggest drop recorded in 26 years, behind only the
fourth quarter reading. GDP fell 6.3% in the last three months of last year. http://money.cnn.com/2009/04/29/news/economy/gdp/index.htm?postversion=2009042908
House passes credit card bill that
helps consumers,Associated Press, April 30,
2009 - Riding a crest of populist anger, the House on Thursday approved a
bill to restrict credit card practices and eliminate sudden increases in
interest rates and late fees that have entangled millions of consumers.
The legislation, dubbed the Credit Card Holders' Bill of Rights, passed by
a bipartisan vote of 357-70 following lobbying by President BarackObama and members of
his administration. The measure would prohibit so-called double-cycle
billing and retroactive rate hikes and would prevent companies from giving
credit cards to anyone under 18.If
they become law, the new provisions won't take effect for a year, except
for a requirement that customers get 45 days' notice before their interest
rates are increased. That would take effect in 90 days. Similar
legislation is before the Senate, where its prospects appear promising. http://www.boston.com/news/nation/washington/articles/2009/04/30/credit_card_legislation_nearing_success/
Wednesday 29 April 2009by: Ryan Grim,The Huffington Post … The
bankruptcy reform bill that passed the House weeks ago amid much fanfare is on
course to be gutted by the Senate Thursday. Senate Majority Leader Harry Reid
(D-Nev.) told the Huffington
Post Wednesday that he wasn't sure the bill had enough votes to overcome a GOP
filibuster and that its key provision -- cramdown --
may have to come out. "We're going to find out. I don't know," he said
when asked if the bill had enough votes to pass.Democrats Ben Nelson (Neb.),
Mary Landrieu (La.) and Jon Tester (Mont.) have indicated to
the Huffington Post that they oppose the bill's
central measure -- giving bankruptcy judges the power to reduce, or cramdown, a homeowner's mortgage payment under bankruptcy
proceedings. That provision is on
the chopping block.http://www.huffingtonpost.com/2009/04/29/bankruptcy-bill-may-be-gu_n_192907.html
Justice Department Backs Plan to
Eliminate Cocaine Sentencing DisparityCarrie Johnson, The
Washington Post, April 30, 2009: "Justice Department officials this
morning endorsed for the first time proposed legislation that would
eliminate vast sentencing disparities for possession of powdered versus
rock cocaine, an inequality that civil rights groups say has
disproportionately affected poor and minority defendants. Newly appointed
Criminal Division chief Lanny A. Breuer told a Senate Judiciary Committee panel this
morning that the Obama administration would
support bills to equalize punishment for offenders accused of possessing
the drug in either form." http://www.washingtonpost.com/wp-dyn/content/article/2009/04/29/AR2009042901551.html?hpid=topnews
Supreme Court Conservatives
Criticize Voting Rights Law James Vicini, Reuters, April 29, 2009:
"US Supreme Court conservatives on Wednesday sharply criticized a
central part of the 1965 Voting Rights Act that is aimed at more than a
dozen states with a history of racial discrimination. It is the second
major race case heard by the justices after BarackObama became the nation's first black president.
The justices seemed split along conservative and liberal lines in
considering a provision applying to all or parts of 16 states, mostly in
the South. It requires them to get federal government approval before
changing their voting procedures."http://news.yahoo.com/s/nm/20090429/pl_nm/us_usa_rights_court;_ylt=AmvKqBV5We0Hq8dPinSy4ayyFz4D
