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Default OT - California Republican governor wants to tax golf, auto repairs

When you are surrounded by rabid liberals, you start acting like one.
Arnold is about as much a Republican as John McCain.

California Republican governor wants to tax golf, auto repairs
By STEVE LAWRENCE, Associated Press Writer Steve Lawrence, Associated
Press Writer
SACRAMENTO, Calif. – Golf course owners and some of their customers
are teed off at Gov. Arnold Schwarzenegger. So are veterinarians, auto
mechanics and amusement park operators.

Their anger is directed at the Republican governor's proposal to
extend the state sales tax to cover more services, an idea that has
surfaced in other states as they race to plug crippling budget
deficits. The Center on Budget and Policy Priorities, a research
clearinghouse, predicts such deficits nationwide could reach $350
billion by 2011.

In California, Schwarzenegger wants to help close a nearly $42 billion
budget deficit by taxing rounds of golf, auto repairs, veterinary
care, amusement park and sporting event admissions and appliance and
furniture repairs.

Democratic Gov. David Paterson in New York has proposed levies on MP3
downloads, taxi rides, movies, concerts, sporting events, and personal
services such as haircuts, manicures and massages.

Schwarzenegger's fellow Republican in Utah, Gov. Jon Huntsman, has
shelved a proposal to tax attorney and accounting services but
promises to bring it back next year.

Service taxes in other states include levies on pet grooming, water
well drilling, fur storage, massages, shoe repairs, swimming pool
cleaning, taxidermy, and dating and diaper services. But that doesn't
make the groups affected by Schwarzenegger's proposal feel any better.

"We're old and retired. We don't need any more taxes," said Fred
Mayers of Sacramento as he played golf recently at a public course in
the state capital. "The only luxury we have is playing golf. They
can't charge us any more."

Scott Pattison, executive director of the National Association of
State Budget Officers, said more states could be looking at service
taxes as they get deeper into legislative sessions.

"It's one of those things that's so politically difficult and
controversial that it's usually one of the last proposals that's
floated," he said.

California already taxes some services, including gift wrapping,
tuxedo rentals and video rentals for home use. But virtually every
other state applies its sales tax to more services, said Jean Ross,
executive director of the California Budget Project, a Sacramento
think tank.

The tax on services is part of $14.3 billion in hikes Schwarzenegger
has proposed to help close a budget deficit that's projected to total
$41.6 billion over the next 17 months. He also is seeking $17.7
billion in spending cuts and $10 billion in additional borrowing.

In addition to the service tax, Schwarzenegger proposes hiking the
sales tax by 1.5 percent through the end of 2011, boosting taxes on
alcoholic drinks, increasing the vehicle registration fee by $12 and
taxing companies that extract oil.

Local sales taxes in California range from 7.25 percent to 9.25
percent, varying from county to county and even from city to city. A
1.5 percentage point increase would boost the rate to nearly 10
percent in many areas of the state.

Republican lawmakers have refused for months to consider raising taxes
but recently indicated a willingness to consider hikes if they're tied
to tough spending controls.

Schwarzenegger and lawmakers have little time left to strike a deal.
The state controller has said he will have to delay tax refunds and
some other payments for 30 days starting Feb. 1 because of a cash
shortage. The governor also has ordered tens of thousands of state
employees to take two days off a month without pay, starting Feb. 6.

"There's no good time to raise taxes," said H.D. Palmer, a spokesman
for Schwarzenegger's Department of Finance. "This is not something
that the governor is putting forward because he enjoys it."

He said the six types of services Schwarzenegger is proposing to tax
were picked because they involve businesses that commonly collect
sales taxes on goods they sell and could quickly adjust.

The affected industry groups say they are being unfairly targeted and
that similar businesses are exempt.

"You don't see a tax on movies," said Bob Bouchier, executive director
of the California Alliance for Golf. "You don't see a tax on bowling.
You don't see skiing. You don't see a tax on any other sport."

The administration estimates that the service taxes would raise $1.4
billion through the fiscal year that ends June 30, 2010.
Schwarzenegger wants to implement the taxes on appliance and furniture
repairs, golf, veterinary care and vehicle repairs by March 1. The
taxes on amusement park and sporting event tickets would kick in on
April 1.

Opponents question whether the taxes would raise that much, saying
they would result in layoffs and fewer customers.

"You're looking at a $50 increase on a $500 (repair) bill at a time
when people are not buying new cars and instead are having their old
cars repaired so they can keep them on the road to drive to work,"
said Peter Welch, president of the California New Car Dealers
Association.

"This is really going to hit people when they're down."

Opponents also suggest that other increases, such as a boost in income
taxes or restoration of the annual vehicle license fee that
Schwarzenegger cut when he took office, would be less damaging.

Not everyone that would be affected is upset.

Sean Grace, a home remodeling contractor from the Sacramento suburb of
Elk Grove, said die-hard golfers will find a way to pay the tax if
lawmakers approve it.

"Ten percent is not too much," he said before slamming a long drive
down the fifth fairway at Sacramento's Land Park golf course. "You've
got guys paying $100 (for green fees). What's another $10? They're
going to find it somewhere."

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Default OT - California Republican governor wants to tax golf, autorepairs

On Jan 26, 3:40*pm, RB wrote:
When you are surrounded by rabid liberals, you start acting like one.
Arnold is about as much a Republican as John McCain.



California Republican governor wants to tax golf, auto repairs
By STEVE LAWRENCE, Associated Press Writer Steve Lawrence, Associated
Press Writer
SACRAMENTO, Calif. – Golf course owners and some of their customers
are teed off at Gov. Arnold Schwarzenegger. So are veterinarians, auto
mechanics and amusement park operators.


Their anger is directed at the Republican governor's proposal to
extend the state sales tax to cover more services, an idea that has
surfaced in other states as they race to plug crippling budget
deficits. The Center on Budget and Policy Priorities, a research
clearinghouse, predicts such deficits nationwide could reach $350
billion by 2011.


In California, Schwarzenegger wants to help close a nearly $42 billion
budget deficit by taxing rounds of golf, auto repairs, veterinary
care, amusement park and sporting event admissions and appliance and
furniture repairs.


Democratic Gov. David Paterson in New York has proposed levies on MP3
downloads, taxi rides, movies, concerts, sporting events, and personal
services such as haircuts, manicures and massages.


Schwarzenegger's fellow Republican in Utah, Gov. Jon Huntsman, has
shelved a proposal to tax attorney and accounting services but
promises to bring it back next year.


Service taxes in other states include levies on pet grooming, water
well drilling, fur storage, massages, shoe repairs, swimming pool
cleaning, taxidermy, and dating and diaper services. But that doesn't
make the groups affected by Schwarzenegger's proposal feel any better.


"We're old and retired. We don't need any more taxes," said Fred
Mayers of Sacramento as he played golf recently at a public course in
the state capital. "The only luxury we have is playing golf. They
can't charge us any more."


Scott Pattison, executive director of the National Association of
State Budget Officers, said more states could be looking at service
taxes as they get deeper into legislative sessions.


"It's one of those things that's so politically difficult and
controversial that it's usually one of the last proposals that's
floated," he said.


California already taxes some services, including gift wrapping,
tuxedo rentals and video rentals for home use. But virtually every
other state applies its sales tax to more services, said Jean Ross,
executive director of the California Budget Project, a Sacramento
think tank.


The tax on services is part of $14.3 billion in hikes Schwarzenegger
has proposed to help close a budget deficit that's projected to total
$41.6 billion over the next 17 months. He also is seeking $17.7
billion in spending cuts and $10 billion in additional borrowing.


In addition to the service tax, Schwarzenegger proposes hiking the
sales tax by 1.5 percent through the end of 2011, boosting taxes on
alcoholic drinks, increasing the vehicle registration fee by $12 and
taxing companies that extract oil.


Local sales taxes in California range from 7.25 percent to 9.25
percent, varying from county to county and even from city to city. A
1.5 percentage point increase would boost the rate to nearly 10
percent in many areas of the state.


Republican lawmakers have refused for months to consider raising taxes
but recently indicated a willingness to consider hikes if they're tied
to tough spending controls.


Schwarzenegger and lawmakers have little time left to strike a deal.
The state controller has said he will have to delay tax refunds and
some other payments for 30 days starting Feb. 1 because of a cash
shortage. The governor also has ordered tens of thousands of state
employees to take two days off a month without pay, starting Feb. 6.


"There's no good time to raise taxes," said H.D. Palmer, a spokesman
for Schwarzenegger's Department of Finance. "This is not something
that the governor is putting forward because he enjoys it."


He said the six types of services Schwarzenegger is proposing to tax
were picked because they involve businesses that commonly collect
sales taxes on goods they sell and could quickly adjust.


The affected industry groups say they are being unfairly targeted and
that similar businesses are exempt.


"You don't see a tax on movies," said Bob Bouchier, executive director
of the California Alliance for Golf. "You don't see a tax on bowling.
You don't see skiing. You don't see a tax on any other sport."


The administration estimates that the service taxes would raise $1.4
billion through the fiscal year that ends June 30, 2010.
Schwarzenegger wants to implement the taxes on appliance and furniture
repairs, golf, veterinary care and vehicle repairs by March 1. The
taxes on amusement park and sporting event tickets would kick in on
April 1.


Opponents question whether the taxes would raise that much, saying
they would result in layoffs and fewer customers.


"You're looking at a $50 increase on a $500 (repair) bill at a time
when people are not buying new cars and instead are having their old
cars repaired so they can keep them on the road to drive to work,"
said Peter Welch, president of the California New Car Dealers
Association.


"This is really going to hit people when they're down."


Opponents also suggest that other increases, such as a boost in income
taxes or restoration of the annual vehicle license fee that
Schwarzenegger cut when he took office, would be less damaging.


Not everyone that would be affected is upset.


Sean Grace, a home remodeling contractor from the Sacramento suburb of
Elk Grove, said die-hard golfers will find a way to pay the tax if
lawmakers approve it.


"Ten percent is not too much," he said before slamming a long drive
down the fifth fairway at Sacramento's Land Park golf course. "You've
got guys paying $100 (for green fees). What's another $10? They're
going to find it somewhere."- Hide quoted text -


- Show quoted text -


Hey...Arnold the REPUBLICAN is just starting to tax.

I expect guns and tools to be on the list soon.

TMT
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