Tax envy in Carson City: Everybody else has one

The Assembly Taxation Committee heard arguments Tuesday for a Nevada corporate income tax.

Assembly Bill 336, being pushed by tax pusher extraordinaire Assemblywoman Peggy Pierce, D-Las Vegas, would extract a 4.5 percent income tax from businesses earning more than $500,000 a year. Ed Vogel’s story in today’s paper says proponents believe the tax would hand over to the state $1.2 billion during the next biennium.

The bill’s backers dutifully pointed out Nevada is one of only four states that has no corporate income tax.

Bob Fulkerson, president of the tax-coveting Progressive Leadership Alliance of Nevada, made the impressive argument that jeans cost $2 more at a Reno Walmart than at a Walmart in Idaho, where the company must pay corporate income taxes.

Vogel’s story quoted Assemblywoman Teresa Benitez-Thompson, D-Reno, who vocally backed AB336, noting most states have a higher corporate income tax than the 4.5 percent proposed.

"The sky isn’t falling in Utah," Benitez-Thompson was quoted as saying. "I want to know how the sky’s going to fall in Nevada when this rate is lower than other states."

Well, Nevada has a payroll tax, high sales tax rates, taxes on insurance premiums, etc., etc.

In fact, on state taxes alone, Nevada ranks 23rd highest in the nation per capita. Meanwhile, even with their corporate skims, Idaho ranks 32nd and Utah is 39th.

If the corporate income tax were to be piled on top of all of Nevada’s other taxes it would climb to 13th highest in the nation for state taxation per head.

They’ll not rest till we’re No. 1.

Listen to the education lobbyist’s language: