From Deseret News archives:

Debate on food tax is really about values

Published: Thursday, Nov. 3, 2005 11:19 p.m. MST
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— $10 million to $175 million in personal income tax cuts, depending on which "reform" plan is adopted.

— $3.4 million to large electrical power producers.

And the list goes on and on.

Removing the sales tax from food has a tax-policy problem, too.

Tax experts say that even though Utah tax revenues are shooting up, the income and sales tax bases are actually shrinking — that is, fewer and fewer people are paying the taxes.

That leaves state government vulnerable to downturns in the economy. It also means in good economic times, like we're having now, tax revenues really jump.

And even so-called conservative GOP lawmakers tend to spend extra funds on worthy programs, like public education and high-tech research and development.

I can remember back a few years when the state budget was $3 billion. It's now $9 billion. And those were all adopted by GOP-controlled Legislatures and Republican governors.

So "tax reform" through broadening the base could slow government growth, too.

But removing the sales tax from food actually shrinks the sales tax base.

Still, now is the time to grab that Holy Grail.

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Removing the sales tax from food helps the most vulnerable among us, the poor, low-income, those on fixed incomes.

Not to sound too high and mighty, but this tax debate really is about where our legislators' values lie.

The poor, sick, downtrodden don't contribute to legislative campaigns. They don't hire high-priced and influential lobbyists. They probably don't send in e-mails or make phone calls to legislators. Sometimes they don't even vote.

In the movie, Indiana Jones had a choice to make: Pick a golden bejeweled cup or a clay challis that may have belonged to an impoverished carpenter.

The next few months will show us what Utah lawmakers pick.


Deseret News political editor Bob Bernick Jr. may be reached by e-mail at bbjr@desnews.com

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