LOIT and What It Means To You.

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July 6th, 2009 we will more then likely see a historical moment in Muncie’s history.  Yes, kids, Muncie will enact a new tax.  To be fair, we plan on including all of Delaware County.  Certainly, it would be a travesty not to bring this shining moment to all.

The county has lovingly bestowed us with the Wheel Tax, it is only fitting we should return the favor.  We trumped them, though!  Muncie City Council will surely pass a 1.25% income tax.  One word of warning to the county, ya’ll play with the big kids, expect to get stomped.

So, what can you expect to pay each year?  I figured it out for you. 

$ 10,000.00 per year = $ 125.00 or $10.00 per month

$ 20,000.00 per year = $ 250.00 or $20.00 per month

$ 30,000.00 per year = $ 375.00 or $31.00 per month

$ 40,000.00 per year = $ 500.00 or $41.00 per month

$ 50,000.00 per year = $ 625.00 or $52.00 per month

Considering the average income of Muncie residents is around $25,000.00,  it will be an extra $26.00 more from the paycheck.  If they own just one car, $28.00. two cars it will be $30.00 per month.  All for the privilege to live in Delaware County.

Why I think it is a bad idea to raise taxes during a recession.  Believe it or not, many people are struggling to meet just the basic necessities of daily life.  Where is the compassion we hear during election time for the working poor, the lower middle class?  Believe it or not, many families do not qualify for public assistance, and asking them to yet make another sacrifice just so the local governments can maintain their spending quotas, is cruel and unreasonable.

Yes, there are those who say, it is only $20.00 a month.  Take into consideration the rise in food costs, gas, utilities, medical, sales tax and suddenly a much bigger picture appears.

Have we forgotten that over 50% of our children qualify for free or reduced lunch?  Or that the unemployment rate is at an all time high of 10%.  I have had some come back at me with the unemployment saying if unemployed, then they are exempt from this tax.  Not so.  Think about the primary wage earner who has been laid-off.  Suddenly, the income has dropped, yet I doubt if the family’s basic needs have changed all that much.

1.25% it ain’t all that much.  Think about it, Muncie City Council and do the right thing.

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One thought on “LOIT and What It Means To You.

    elwoodin said:
    June 28, 2009 at 8:18 am

    Sadly this is happening all over. Reagan’s model of lowering taxes and increasing revenue really just seems to be totally lost on these guys. I really do not understand the concept. Somewhere deep in their tiny little brains they have to know that in doing what they are doing, the people will, sooner or later realize that they do not have to pay, and they won’t. What the bosses in our governments, from the local governments to the national one have to come to realize…….the bosses are not them. We are and we have the ability to fire them. It is time we did so.

    Great post, the numbers are scary to say the least.

    Like

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