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Thread: Reneging on tax pledge shameful

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    Reneging on tax pledge shameful

    Gov. Eliot Spitzer’s reneging on a promise to collect sales tax on Indian cigarette and gasoline sales breaks a promise he made to the people of New York state and has damaged his credibility to the point where it’s hard to believe anything he says.

    In short, Spitzer lied to the people he is supposed to represent. He needs to keep his promise and enforce the law – a law supported by the U.S. Supreme Court.

    On Wednesday, Spitzer’s budget office erased a $200 million revenue projection from taxes on reservation gasoline and cigarette sales to non-Indians for fiscal 2007, but included $150 million in projected revenues for fiscal 2008, which begins April 1.

    And why should we believe him? In fact, Spitzer has given us little reason to believe that he’s telling the truth about anything – whether it be projected tax revenue, tangible economic help for upstate or Troopergate, the plot to besmirch state Senate Majority Leader Joseph Bruno.

    Spitzer misled constituents when he put the $200 million in anticipated revenue from the tax in his state budget from a source he now says he will not pursue. And he compounded that deception when he said that although there was no mechanism in place to collect the tax, he would work on a plan to develop one.

    There were hints that Spitzer was hedging on his promise to collect the tax during a meeting with the O-D editorial board in August. When asked about the plan, his answer was foggy at best, saying only that state officials and Indian nations have held some “marginally useful” conversations on the topic.

    Then he moved on to other topics.

    The nation’s highest court ruled in 1994 that the state could collect taxes on tobacco and gasoline sold by Native Americans to non-Indians, but past governors haven’t had the courage to do it. Mario Cuomo didn’t try, and Pataki backed off after being intimidated by Seneca Indian protests a decade ago in western New York.

    The law is the law, and it’s tough to see what part of that is so hard to understand.
    There is no argument that Native Americans should be allowed to purchase tobacco and gasoline tax-free from Indian enterprises. But it’s only right that other sales be taxed because the loss of revenue hurts all New Yorkers. In Oneida County alone, it’s been estimated that losses in sales tax revenue over the past seven years are more than $28 million – not to mention the fact that legitimate tax-paying merchants are being hurt or even run out of business by unfair competition.

    Spitzer, who declared himself a “steamroller” in referring to his aggressiveness and accomplishments during his first few weeks as governor, has become a standard bearer for the status quo. He needs to keep his promise and collect this tax.

    UticaOD.com

  2. #2
    Member raoul duke's Avatar
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    There's also that little problem where Native American tribes tend to win in Federal Court everytime the sales tax issue issue gets there.
    One beautiful thing about having a government of the corporations, by the corporations, and for the corporations is that every disaster is measured in terms of economic loss. It's sort of like getting your arm sheared off in a car accident and thinking, "Damn, now it'll take longer to fold the laundry" as blood spurts from your arteries. - The Rude Pundit

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    Member CSense's Avatar
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    Spitzer's a gem. Just counting down the days toward his departure.

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