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Wednesday, April 6, 2011
GE Tax Showdown in Senate—A vote to remember in November
By Andrew Walden @ 1:11 AM :: 5661 Views :: Energy, Environment

by Andrew Walden

Consumers and small business are mobilizing to protest against proposed GE Tax hikes being considered by the Senate Ways and Means Committee.  A public hearing is set for HB793, a shell bill which has been amended to raise the GE Tax to 5% (5.5% on Oahu) and eliminate numerous GE Tax exemptions. This would be a 25% tax increase. Testimony will be heard Wednesday morning starting at 9:30AM and is expected to go on for hours.

Hawaii GE tax is one of the most regressive State taxes in the nation – the lower one’s income, the greater the percentage lost to the tax.  Both types of GE Tax hike would reverberate throughout the economy in the form of higher prices

From his very first day in office, Hawaii Governor Neil Abercrombie has driven the State budget deeper and deeper into the hole by giving away millions of dollars to his Government Union supporters.  Meanwhile Abercrombie has falsely portrayed the State economy as falling into recession.

After Abercrombie forced the Council on Revenues to come back with a lower projection of future tax revenues, the Japanese Tsunami gave Abercrombie the excuse he needed to force the CoR to reluctantly lower the number even more.  The Legislature is legally obligated to balance the State budget based on CoR numbers. 

In reality, tourism losses from the Japanese Tsunami are expected to be temporary and increases in airlift capacity from Korea, Canada, Australia and the US Mainland have resulted in almost zero net loss in business.

Of course even small children know that the CoR numbers have been fudged to create an illusion of crisis and stampede Legislators into putting their jobs on the line by hiking the GE Tax. 

In a year when movie moguls have come hat in hand begging for tax credits, and billionaire wind energy scammers are lining up for the opportunity to loot ratepayers, will Hawaii’s oh-so-progressive legislative Democrats top it all off by taxing the poor?  Do they think anybody is fooled by their claims that the GE Tax exemptions affect only “special interests”? 

Election Day is November 6, 2012.  It’s a redistricting year: All 76 will be up for reelection.

We’ll be making a list. 

---30---

PRECISELY AS PREDICTED: Abercrombie: GE Tax hike will be People's Will

HB793: Hikes GE Tax 25%, eliminates exemptions, Hearing Wednesday

GE Tax Hike: Tell them what you think

No New Taxes! Rally April 15--Honolulu, Kona, Hilo, Kahului, Lihue

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