According to a recent national study, the state that usually ranks at the bottom of the list nationally actually tops one list.
Unfortunately, it’s a list of states that place high tax burdens on their poorest citizens.
The study conducted by the Center on Budget and Policy Priorities shows Alabama requires families living in poverty to pay higher income taxes than any other state does.
The non-partisan center’s report states a family of three in Alabama earning at the federal poverty level, which is just over $17,000, pays $333 — “the highest tax rate in the country.”
The report should come as little surprise — for years we had the lowest threshold in the country for taxing the poor. While some of that was addressed a couple of years ago, pushing Alabama to No. 3 in the nation, our state has been steadily backsliding and has already re-crossed that disgraceful threshold in several categories.
Only 16 other states tax people living at or below the poverty level, but apparently none of them do it better than Alabama.
Aside from being morally reprehensible, the practice is a huge impediment to Alabama’s growth and perpetuates the national image that we live in a backward, regressive state.
And, at least where our tax system is concerned, that stereotype is right on the money.
Adding to the insult, such an unbalanced tax system creates an unstable financial base for essential government services — especially education, which compounds the problem of moving the state forward.
Likewise, officials are quick to point out high taxes on the poor pose a particularly difficult problem during this recession, since so many families are struggling just to keep food on the table and every penny counts.
That not only means lean times for these families, but also for the companies and businesses that depend on them as customers.
Every election cycle, we hear the same old rhetoric from politicians that they are going to address the issue, and just about every time something is proposed, it is either defeated in the Legislature or by the voters.
Alabamians have only themselves to blame for this problem — next time you go to the polls, use your vote to send a message to Montgomery that it’s time for real tax reform in our state.
Government is corrupt to the core, from the city of Sylacauga all the way to U.S. Congress and the president. This not a republican or democratic problem, it's throughout government, at all branches, and has been in motion for decades. Today, we're just seeing the culmination of a lot of past efforts to position the U.S. to move from capitalism to socialism. It's unfortunate that very many people don't see this coming. When they wake up, it'll be too late.
You're also correct about the global direction since WWII. Here's a little more food for thought about this. At the end of WWII, there was a strong push for international free trade. The rationalization for this was twofold; 1) it was the quickest way to rebuild the economies and infrastructures of those countries torn apart by the war and 2) using the theory that countries that became dependent on free trade would become less interested in pounding on their neighbor countries because there was now a severe economic impact for picking a fight with somebody.
The evolution of technology and the market changes associated with free trade completely changed the dynamics of the world market. The EU serves as an example of the direction global powers desire. The proposed North American Union (Mexico, the U.S., and Canada) has not disappeared and we're still in danger of that coming to fruition. Unfortunately, I do not have confidence that people as far down in the food chain as you and I are can change this course. I was speaking with a municipal judge the other day, who also happens to be a retired marine, and he expressed very deep concern that we (the U.S.) are headed for a major internal confrontation and it will not be pretty.
My point is that you and I have very little influence at this level, and even at the state level. However, we do have quite a bit of influence at the local and county levels, and here's where I believe our efforts can be realized. Find the rotten apples and use technology to keep the heat on them until we can either gather enough evidence to put them behind bars or get them thrown out of office in the next election (make sure to read the on-line comments to the article about Sylacauga passing the budget with a $177,000 deficit). Do we ignore the federal situation? Never! We influence what we can and when the conditions are right, we strike at the heart of the matter.
As for Alabama being backwards, well it just is. I never thought I’d live to see the day when Mississippi and Georgia were ahead of Alabama. But that’s just the way it is. We can change that, though. We already have a lot of things in motion. Let’s just keep organizing and taking the crooks on one at a time.
Order Up!
Thou shalt not buy alcohol on Sunday.
Thou shalt not gamble.
Oh, ding-a-ling - one other thing. You have a better chance of success working within your sphere of influence. Having an impact on Alabama tax code holds a whole lot more promise that revamping the federal tax system.
Speakwithoutfear - you are dead on with your comment about the taxes on beer & cigarettes. At the end of the day, most of the hardworking common laborers I know want to relax with a pack of cigarettes and a six-pack of beer. And they're taxed out the ears for these two items. Rediculous!
I'd like to write more, but I suddenly feel compelled to go tell everybody at the Georgia line with an Alabama license plate that they don't know what they're doing. On the other hand, I think we should go get Skip Smithwick's RV and drive as many folks as we can to the line so they don't have to waste gas!
Order Up!