WEEKLY EDITORIAL RECAP

WEDNESDAY

JOB KILLERS

As Nevada's political establishment dodges debate and tries to hide its plans for massive tax increases, the case for tax restraint is growing stronger.

On Tuesday, the nonpartisan Tax Foundation released an analysis that warns against two new taxes strongly supported by the Legislature's majority Democrats: a corporate income tax and a gross-receipts tax. Passing either of these levies in 2011 would have disastrous consequences for Nevada's already reeling economy, the tax research group reported. ...

The Tax Foundation analysis tracks very closely with a recent report from the Nevada Policy Research Institute.

Both studies found that a corporate income tax -- favored by state Senate Majority Leader Steven Horsford, D-Las Vegas, as a means of "stabilizing" Nevada's tax base -- is the most volatile levy administered by states and would therefore destabilize Nevada's tax base. Additionally, the studies say the corporate income tax and the gross-receipts tax are economically destructive because they discourage investment and job creation -- exactly what Nevada needs to get people the jobs that allow them to spend money. ...

Nevada has 14 percent unemployment and the vast majority of the state's homes are underwater. And politicians are seriously considering major tax increases? That's insanity.