Bacon's Rebellion

Democracy Thrives in Sunlight

Tax Me! Tax Me!

—

by

James A. Bacon
in

In 2002, Virginia set up a special fund for the benefit of those who, either because they believed they were not taxed highly enough or because of an outpouring of generosity, were inclined to voluntarily pay the Commonwealth of Virginia more money than they legally owed.

Since then, reports the Washington Times, the fund has collected $10,217.04. “Public generosity reached its high point in 2003 when Virginians forked over $6,602. The low point was in 2006, when the state received a measly $19.36. “That’s a tad shy of what it takes to cover a $74 billion biennial budget.

Gov. Mike Huckabee first instituted the idea in Arkansas. In his book, “From Hope to Higher Ground,” Huckabee explained the thinking behind the idea: “It was a potent way of pointing out the hypocrisy of the insincere vocal minority who proved by their failure to write a check that they wanted more taxes to be paid, but they wanted them to be paid by someone other than themselves.”

Remember, the art of politics is all about getting the government to give you what you want — and getting someone else to pay for it.

Share this article

ADVERTISEMENT

(comments below)

ADVERTISEMENT

(comments below)

Comments

  1. Anonymous Avatar
    Anonymous

    That’s pretty amusing.

    There is a big difference between offering to pay more generally and wanting to pay more for a specific thing. We do “Willingness to Pay” studies all the time, as a means of determining what non-market things are worth. What has been done here is to ask half the question: what are you willing to pay, without the “for” part.

    The question is as insincere as the answer.

    I think you might get a lot more participation if you asked people how they thought the money they have already paid should be spent.

    Both the question and the answer would likely be more sincere.

    RH

  2. Larry Gross Avatar
    Larry Gross

    I heard a rumor that the state was planning on giving anyone who contributed on their own $500 to spur new donations.

    If they get enough people to donate.. we’ll get rid of the deficit.

  3. Anonymous Avatar
    Anonymous

    Why would we want to get rid of the deficit? As long as we have it we get more stuff than we pay for.

    An economics proffessor starts the year with a lottery. Each student can enter as many times as he likes. The prize is $1000 divided by the number of entries.

    He has never paid off more than a few cents.

    RH

  4. Waldo Avatar
    Waldo

    The trouble is that nobody knows this exists. Until this article ran, how would anybody have the slightest clue that it was possible to pay into this fund?

    When I got my rebate in 2002 (or whenever that was), I called the state department of taxation and asked if I could give it to them. The baffled woman said that they’d just apply it to my next filing, but they’d probably just cut a check and send it back to me before then, because they’d figure I’d accidentally overpaid. I ended giving it all to a few different charities.

    So not only do citizens not know about this, but the state doesn’t know about it.

  5. Jim Bacon Avatar
    Jim Bacon

    Waldo, it pains me to admit it, but that is a valid point! No one’s going to contribute if no one knows the program exists.

  6. Anonymous Avatar
    Anonymous

    Why doesn’t Governor Kaine use his bully pulpit to publicize the fund? He’s articulate and can get press coverage easily. Maybe, he doesn’t want publicize it!

    Also, anyone seeking higher taxes from the General Assembly should be required to disclose how much he/he/they/it paid into the fund.

    TMT

  7. MB Avatar
    MB

    I think this issue is being framed a bit inaccurately. I, for example, am one of the Arlington-living-$$$-making-liberals who say that they’d be willing to pay more taxes than they do. But note that that statement follows from my core premise – that tax policy should be set in such a way as to provide for more capital improvements and services than gov’t presently provides. I’m saying that I am (and I genuinely am) willing to pay more in taxes, but only as a part of an effective overhaul of the taxation system. I’m not so stupid as to think that an extra grand from me will make a whit’s worth of difference. And it’s a difference that I’d like to make, not some silly political statement.

  8. Anonymous Avatar
    Anonymous

    MB – can your tax change ideas be implemented without affecting taxes for others who believe differently than you? Or are you advocating that everyone (or at least everyone who sits on one side of a line drawn by you) also pay higher taxes?

    TMT

  9. MB Avatar
    MB

    Oh, I most definitely advocate that everyone who is similarly situated to me (income-wise) pay at a higher rate (note that I’m not advocating higher taxes for the sake of higher taxes – just acknowledging, for the purpose of this discussion, that a higher rate for a group that included me is something that I’d be willing to live with in return for improved gov’t services/spending in particular areas).

    The ideological opt-out would pretty much destroy gov’t, obviously. That may be the goal of some, but I think it’s both a non-starter, in practical terms, and just plain old bad idea, in philosophical terms.

    In any event, not here to debate the role of gov’t and taxation. I just thought I’d point out that the framing wasn’t at all accurate as to the real question.

  10. Anonymous Avatar
    Anonymous

    MB – I like your candor. Reasonable people can disagree about tax and spending policies, but they all should be honest about what those beliefs are.

    TMT

  11. Larry Gross Avatar
    Larry Gross

    totally agree.

    ….”…[higher taxes] something that I’d be willing to live with in return for improved gov’t services/spending in particular areas).”

    .. assuming that MB is expecting “more” than just increased expenditures from increased revenues.

    .. even those well off should take no joy in burning dollar bills…

Leave a Reply

Read More