South Carolina Politicians Want to Tax Your Water!

To make up for profligate spending on projects that only morons thought they could afford. What’s worse is the communists involved think slapping a 2.5% tax on water, electricity, groceries and prescription drugs doesn’t go far enough!

If you look at the list above you may notice something. All the things they’re looking at taxing are things you can’t stop using. This is apparently a nod to the Laffer Curve, which all we “wingnuts” know is the proven historical fact that if as you raise taxes the revenue from taxation declines because you remove the incentive to make more money. Cigarette and alcohol taxes also don’t work long term because when you tax consumption people have a tendency to not consume.

Are you guys going to give up your prescriptions though? This is an attack on the poor who can’t go without these things but are going to be adversely affected by these taxes. Not the the politicians care, they just want their voting buying programs funded:

Changes are past due in a state where teaching positions this year were cut and roads weren’t paved, but portable toilets, sweet grass baskets and Learjets got a tax break.

“I would encourage legislators to read it first,” said Kenneth Cosgrove, a member of the TRAC commission who works in marketing and operations for Piedmont Petroleum Corp. and will serve as president next year of the South Carolina Association of Convenience Stores.

“This is not a tax increase,” Cosgrove said. “We are not here to raise taxes or fix the problems the recession has caused in terms of state revenue. The tax code in South Carolina is broken. I would encourage lawmakers to let the process work.”

The final recommendations aren’t expected until November.

But what is apt to be included in those recommendations are already making some legislators uncomfortable.

If approved, South Carolinians would pay a 2.5 percent sales tax on water, electricity, groceries and prescription drugs, all of which are currently exempt from sales tax.

Some currently exempt items would be taxed to the tune of 4.96 percent, including Internet music downloads, wrapping paper, newspapers, hearing aids, prosthetic devices and extended warranties. The tax on things like clothes and furniture, presently set at 6 percent, would be lowered to 4.96 percent as well.

There is also a recommendation to gradually raise, and then eliminate, the sales tax cap on motor vehicles. In South Carolina, someone buying a 2010 Hyundai for $10,000 pays the same as someone else purchasing a $355,000 Lamborghini. The cap would be raised to $600 in 2011; $1,000 in 2012; $1,200 in 2013 and eliminated entirely in 2014.

Of course the lefty April Silvaggio who wrote up this piece swoons over “fixing” our broken tax system but ignores the cost raising taxes will have on the state. Take her car example, she implies that people buying high end cars are not paying their fair share. But the reality of raising taxes on luxury items is that people will simply stop buying them or will buy them in states where the taxes are cheaper.

Newspapers, music downloads and warranties will also see drops in amounts purchased. Newspapers,especially, cannot afford to lose any more customers in this economic environment but the taxes will do just that.

And they want to tax your water. No where have I seen them talk about cutting spending, or the kinds of initiatives we need to lure more business into the state. Just taxing things you can’t go without. And once they put taxes on water and your grandmother’s heart pills they’ll increase the taxes whenever they start coming up short, which will eventually lead to an outflow of residents and their capital to states like Florida.

Water. They’re going to tax your water. What’s next? Air?

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