Dumb people should not be allowed to make tax plans

Why is it that only dumb and short-sighted people seem to float initiatives about taxes? The East Valley Tribune has this article about eliminating the income tax in Arizona. The myopia that pervades the right-wing anti-tax crowd is staggering.

I get it guys, you don't like taxes. I don't like taxes either. I also do not like going to the dentist or painting my house when the paint is peeling or fixing my roof when it is leaking. I would like all of those things to magically fix themselves for free.

Government has to do things. It needs to provide law enforcement, roads, parks, sewage, water, schools, courts etc. All of these things cost money. The government needs sufficient and stable funding to operate. I for one do not trust right-wing ideologues to determine whether a sales tax will provide enough funding to do what needs to be done.

The unintended consequences of these sorts of policies can be pretty harsh. I am being self-interested here (I pay property taxes, income taxes, car taxes, sales taxes etc). Anyone who has lived in a state without an income tax have seen how the state insures its funding. In California they passed Prop 13 for property taxes, now they have a very uneven system of property taxation. If you are a new home owner, you get stuck with much higher property taxes (and all manner of fees) to make up for the others with low taxes. It is similar to rent control. You also pay higher prices for car tags and almost everything else. In Florida, property taxes are sky-high because they don't have Prop 13 or income taxes. In fact, there are fees everywhere when you deal with the government.

What I almost never see is an analysis of the consequences of something like prop 13. What is the affect on the housing market when a new house pays double the taxes as the house next door? Does it affect the fungibility of property? Does it keep newer home owners out of the market? Does it drive higher foreclosure rates? Will a sales tax only system provide sufficient revenue? Will people seek loopholes out of self-interest with property and sales taxes?

The first problem that I think of with a sales tax only system besides its regressive nature for food and other necessities, are online sales. If you increase sales taxes you will incentivize buying online to avoid taxes. For instance when I bought my wife's engagement ring, I purchased it online. Not only were the prices lower and the quality better, but I got a 6% discount because of no sales tax being charged. If you significantly raise sales tax the incentive to buy online goes up significantly.

My only point here is that when it comes to taxes, I wish that the right could have an adult conversation about providing necessary services and the unintended consequences of changes. You anti-tax folks must realize that just because something sounds good does not mean that it is good.