Dec
4
Will Income Tax Actually Benefit The South?
Filed Under COIT, Elsie Franklin, Income Tax, Lake County, Lake County Council, property tax crisis, tax revolt
Will the Lake County income tax actually act as a “reverse Robin Hood” and take money from the poorer north and send it to the wealthier southern parts of Lake County?
Writes Bill Dolan in the Northwest Indiana Times:
Millions of dollars generated by a proposed income tax could migrate out of the pockets of Gary, Merrillville and Hammond residents to benefit homeowners in Munster, Dyer, St. John, Schererville and Crown Point.
A source close to the Lake County Council disclosed Monday a study that indicates many communities north of U.S. 30 would be the losers while those to the south would benefit from a property tax reduction plan depending on a new local income tax.
County President Elsie Franklin, D-Gary, questioned the authenticity of the data obtained by The Times on Monday, saying she hasn’t seen it and won’t comment until she does.
I’m skeptical because the Lake County income tax supporters would never support a plan that flows the money from north county to the south. There would be too much power to be lost — not to mention consequences at the polls — if money was to flow the wrong way out of the tax supporters’ districts.
Related Posts
Comments
8 Responses to “Will Income Tax Actually Benefit The South?”
Leave a Reply
I also question those figures. Much more of the growth, and thus the taxes, are coming from the south now. And frankly if Lake County doesn’t do something, I think the state will force them to raise their income tax.
Hi Steve,
Thanks for stopping by.
I think it’s inevitable that Lake County will end up with an income tax. The state has said that they will cut Lake County’s funding if they don’t pass one.
However, if the government keeps doing what they’re doing, we’ll be in for ever increasing taxes.
What the government needs to do is figure out where to cut waste and end fraud, then maybe we can get back on track.
Steve, check out my blog for the scoop, but the executive summary is that the way that the COIT revenue is distributed is what causes the north to get screwed. Commercial property does not get the benefits of the COIT.
Why would north county legislators be for the COIT if it doesn’t benefit their community? These people can’t read, much less do basic math. They’re ignorant. They’re unimformed. They’re stupid. Get it?
Hi Buzzcut,
Maybe it isn’t a matter of getting money from the COIT that has the supporters of a Lake County income tax motivated, but the fear that they will be cut off from state funds from downstate.
I still say that Lake County should hold out and tell downstate “no.” The state hasn’t treated Northwest Indiana well in the past, so having our local leaders stand their ground would show Indy that we have a spine.
The Democrats in the state government won’t let NWI starve for funds out of fear that it would hurt their maintenance of one of the state’s few blue counties.
Chris, these lake county councilmen are ignorant. They paid for this consultant to do a study for them, and they don’t even know what’s in it!
I got the document that I linked to regarding who gets what under the 50-50 plan from Larry Blanchert, but it doesn’t seem like any of the other councilmen even read it!
I know Gary schools are bad, and these guys very well could be illiterate. They’re certainly innumerate.
I wonder what the state will do if we don’t pass the COIT. Worst case, they freeze the levy. Big deal. That would start getting our municipalities ready for the big cuts that are ahead.
I know Pastrick had a lot of pull not only in Indy, but in Washington. Do other Lake County Dems have similar juice?
Christopher, when were you planning on telling me you were back into blogging?
Hi Broad,
I haven’t been back for too long, but I probably should have left a comment or two over at your blog.
Hi Buzz,
You might be right.