Americans for Prosperity-North Dakota announced on their blog yesterday a campaign to convince lawmakers in the state that No Taxpayer should be Left Behind.
As most North Dakotans know, the state is sitting on a $550 million surplus that just keeps getting bigger. Governor Hoeven has a foolish plan to spend the surplus and create the impression of tax relief without actually providing tax relief.
So State Director of Americans for Prosperity-North Dakota, Duane Sand, held a press conference yesterday to announce this campaign. (Video Clip from KXMB)
The current property tax rebate plans that both the Governor and the Democrats are pushing do nothing to solve the long term problem, and give the State Government control in local issues that it just should not have. Plus, they give no relief to people who rent and do not own property.
There was a good bill from Senator Tracy Potter of Bismarck (a Democrat by the way) that would allow renters to claim part of their yearly rent as a credit against income tax liability.
All of these plans have the same problem – diverting state funds generated by the income tax (100% of income earners) to those who own property (70% of income earners). This is unfair and leaves upwards of 85,000 North Dakotan without any tax relief. (The 85,000 is the number the Democrats themselves use.)
The fairest way to give long term, sustainable, tax relief to the people that produced the surplus is with income tax rate decreases (not a rebate).