Utah Legislature: Most Utahns paying less under new 5% flat tax, study says

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  • Kristy
    Feb. 2, 2010 6:57 p.m.

    Mark, I really hope that your being sarcastic.

  • mark
    Feb. 2, 2010 10:16 a.m.

    Craig, sorry but you are just wrong, everyone knows that California is home to tax and spend liberals. Everyone knows that it is liberals that tax you through the roof and steal everything you make.

    So there is no way that here in this god fearing good conservative family values state that anyone could be taxed more then in lib California.

  • Craig
    Feb. 2, 2010 9:30 a.m.

    I pay taxes in CA and UT for 2009 and even though I made more money in CA, I paid less taxes.

    I did the numbers and I will pay more taxes in UT than in CA unless I make more than $100,000, then I start to pay less (assuming I live the entire year in the respective state). If I make $1,000,000 I will pay $40,000 more taxes to CA than to UT.

    Basically it is better to live in CA until I make more than $100,000, then I should move to UT.

  • Flat tax isn't flat.
    Feb. 1, 2010 6:19 p.m.

    Eliminate deductions and make the tax flat. Until you do that, dear legislators, you have an unfair taxation scheme that won't pay the bills.

  • MormonDem
    Feb. 1, 2010 12:47 a.m.

    News Flash! Republicans lower taxes on the rich; promised economic trickle-down fails to materialize!

    In other news, several planes landed at the airport today, traffic was bad at point of the mountain during rush hour, and the sun set in the West.

  • As much as I hate taxes
    Jan. 31, 2010 10:52 p.m.

    As much as I hate taxes, I'm glad to have an income!

    Still, I not only hope everyone is paying less, I hope all government learns to spend less.

    In the 70's I remember when sales taxes went over the 4% threshold. We are on the verge of 7%. Are we really getting almost twice as many services, and do we really need those services?

  • re: Anonymous
    Jan. 31, 2010 9:02 p.m.

    So if the flat tax is the direct cause of the state's budget woes, how do you explain California having such trouble? They have progressive tax rates, and seem to be in far bigger budget trouble than Utah!

  • mark
    Jan. 31, 2010 7:14 p.m.

    Try again to deceive us...|12:42 p.m. Jan. 31, 2010

    "I work hard. I should be able to keep some of my money rather than paying for everyone else."

    What!! You are paying for everyone?! I wish I'd known! What's your address? I'll send you my tax bill.

  • This Article is Misleading
    Jan. 31, 2010 6:59 p.m.

    Perhaps a majority of Utahs do get a break with this flat tax, however the majority of Utahn's get only a very small cut under this tax.

    This is because this flat tax is targeted at Utahn's who have very high incomes. These are the ones getting most of the money back from this tax.

    This tax cut could have targeted all Utah'ns equally, or even given the low income Utahn's the biggest break by getting rid of the food tax completely.

    Given that the Legislature and Govenor are Republican, this isn't what was done. This is understandable. Republicans reflexively do what is best for the most well to do.

  • Quit calling it a flat tax
    Jan. 31, 2010 6:32 p.m.

    Because it isn't. A true flat tax would have no deductions, credits, exemptions, etc. Instead, you would pay 5% of what you make in annual income. End of story. If they want to try a flat tax, I'm all for it. Do it. If it don't work, we can always up the percentage or find some way to play with the numbers until we find a reasonably fair system that does work.

  • Larry Lofthouse
    Jan. 31, 2010 5:39 p.m.

    Add me to the list of Utah taxpayers who pay MORE under the "new" system. I am very disapointed in the rhetoric that claims less taxes.

  • WOW
    Jan. 31, 2010 5:09 p.m.

    "Like most tax studies, this one is complicated, with lots of charts, graphs and analysis"

    If it were not for the comments posted here and the incompetance of the avergaee citizen when it comes to almost anything analytical I would be offended by the comment above but teaching in higher-ed in Utah has convinced me that such a statement is about right- further evidence we should get rid of the 12th grade since we have taught and "learnt" all we can by that point

  • Perhaps most Utahn's are
    Jan. 31, 2010 5:04 p.m.

    paying less under this flat tax, but the fact remains that it is still the most well to do Utahn's that got the biggest break from this particular tax. The most well to do Utahn's are the ones who need it least.

    Most Utahns who got a break from this tax (the middle income tax payers), got a very small break, I have newspaper articles and the middle class who did get a break with this tax got a very small break compared to the wealthy.

    There has been talk of revoking the decrease in food tax. No talk at all about revocation of this tax that was targeted at the rich.

    Why is it that the Republicans always give tax cuts where those who need it least get the most. Yet when there is talk of having to raise a tax, the food tax is the one that comes to mind, which is a tax that hurts the least able to pay, the most.

    This is why I vote democratic.

  • Huh?
    Jan. 31, 2010 3:46 p.m.

    What do they consider "middle-class" income? I'm paying about 5 times as much as I was under the old system.

  • Bull
    Jan. 31, 2010 3:15 p.m.

    My state taxes have doubled under Huntsman's flat tax, with only a modest salary increase.

    I am not sure why folks blame it on the "large families" as there is no large family convention that sets tax policy. This was Huntsman's idea, even though many groups opposed it, including my "large family".

    My bro-in-law moved to Texas and got a raise because taxes are less even though they reduced his salary. The irony is that they claim the tax burden is on home owners, but they pay less than us.

    Flat income tax + Property tax + gas tax = move to another state

  • Try again to deceive us...
    Jan. 31, 2010 12:42 p.m.

    I am a middle income Utahn. My taxes increased by a thousand dollars! Tired of hearing how most taxes were decreased. Don't treat us like we are stupid.

    I am truly tired of paying for everyone else. Tired of taxes for lazy butts who don't want to work and mooch off of everyone else!

    I work hard. I should be able to keep some of my money rather than paying for everyone else.

  • Not me
    Jan. 31, 2010 12:06 p.m.

    Our annual contribution to state taxes went from approx $24,000 per year to over $45,000 in 2008. We have lived in Utah our entire lives and I am sick of paying for all these big families.
    We are doing like many of our friends and becoming residents of a state that does not force us to pay such big taxes -we will buy a house or condo in WY, NV or another state. For $45,000 I can buy one heck of a place to be a resident and yet still live in Utah -hey it is done all the time, just look at all the high end cars in this town with WY or NV plates-they aren't here for Medical treatment or to shop at Nordstroms

  • David Decker
    Jan. 31, 2010 11:59 a.m.

    We are retired with good retirement incomes; and have no problems paying our share to keep education and law enforcement, two areas that need budget increases not decreases, from being cut. However, that said, our Utah income tax for 2008 was up several hundred dollars with the same income; and higher medical costs. Something is wrong in the new formula. We continue to feel that Utah's property tax is rediculously "low" (we are 11 years out of CA); and should carry the the entire education cost. And all food tax should be eliminated. The current sytem does not make good sense.

  • duke
    Jan. 31, 2010 11:58 a.m.

    The caption is not true for most taxpayers. Most pay more though it is a little more. A very few pay less, and it is a LOT less. It skews the totals to create a false impression. The results are grouped in a way that present predrawn conclusions. We see the statistics they want us to see.

  • my taxes
    Jan. 31, 2010 11:56 a.m.

    went up as well. I think their theory that most people are paying less under this system is hogwash (the middle class; the backbone of the economy) are paying more. I just hope those rich people who received a tax break via the flat tax are using that money to start of expand businesses and hire more people as all the hard right wingers say they will; that theory doesn’t seem to be working does it?

  • Redman
    Jan. 31, 2010 11:31 a.m.

    I believe that there is something wrong with poor families not paying taxes, even though they benefit from the spending of those funds. Everyone should be participating in paying for our state's needs. A progressive tax is bad for our state and country. I am fully supportive of this new tax system.

  • The secret...
    Jan. 31, 2010 11:22 a.m.

    The secret to all these tax woes would be to get EVERYONE to pay their taxes. If the state would enforce the tax laws and go after those who do not pay their taxes at all, the rest of us wouldn't have to pay as much. It is very simple...eliminate all the exemptions, deductions, and credits and then and only then will it be a flat tax.

  • Anonymous
    Jan. 31, 2010 11:02 a.m.

    A consumption tax is the way to go. You consume government resources. You pay. Simple as that.

  • Fred
    Jan. 31, 2010 10:27 a.m.

    My middle income must also be part of that SMALL group of taxpayers who saw an increase in taxes.

  • Anonymous
    Jan. 31, 2010 9:58 a.m.

    This flat tax is the direct cause of our budget problems.

    Who is paying for it?

    Our children.

  • Anonymous
    Jan. 31, 2010 9:15 a.m.

    My taxes went up a little under this "so-called" flat tax. According to my accountant, most clients' taxes went up some. He said the big winners were the wealthy who saw decreases in their taxes. This is not a true flat tax since true flat taxes do not allow for any deductions whatsoever. I believe in flat-taxes and I challenge the legislature to make this tax a truly flat one. The only true flat tax in Utah right now is tithing.

  • Small change vs BIG change
    Jan. 31, 2010 8:36 a.m.

    My taxes went up slightly under the new system. People earning within $30,000 of what I do, one way or the other, saw a small change. People earning $1 million more than me are paying tens of thousands of dollars less and that money is coming directly out of Utah schools.

  • my taxes went up
    Jan. 31, 2010 8:15 a.m.

    My taxes went up under this system. I am a middle income earning small business owner.

  • Critical of tax cuts
    Jan. 31, 2010 7:58 a.m.

    The drastic cuts to important programs paid for by state tax revenue tells me that these tax cuts were poorly timed and ill-advised.

  • Doug Slater
    Jan. 31, 2010 7:34 a.m.

    Despite a reduction in my income of around 6,000, my Utah Income Tax went up. My Tax preparer told me that he saw similar results for almost all of his "retired" customers. I protested to the Tax Commission and have yet to receive an explanation for how it is possible.

  • A bogus hoax
    Jan. 31, 2010 3:59 a.m.

    Anyone who believes these charts don't pay any taxes so they wouldn't know. I have to wonder how they manipulated incomes, tax credits, EIC, and tax exempt illegals in to these charts.

    This chart has drawn a line at $500,000 as the upper tax payers paying more taxes and that is just a tad bit higher than it really is, like about $475,000 too high.

    On retired income just barely above the nationally established poverty income of about $32,000, my taxes have gone up every year by 3 digit numbers on state and federal taxes. And this chart is not even including the increases in other state, city, and county taxes and fees we also pay. If you discount all the EIC and other tax credits you would find that a flat 5% tax on base incomes is not so flat or low. Before this 5% flat tax, many of the low income to middle income tax payers were paying less than 5% tax, but they didn't understand or realize that fact.

    So they come up with this hoax to deceive and pass misinformation.