Arizona Supreme Court Removes Tax Incentive From Ballot, A Blow To Teachers

[appalachiablue]

Source: NY Times

By Dana Goldstein, 5 hrs. ago.

In a major blow to the national protest movement against classroom budget cuts and stagnant teachers’ salaries, the Arizona Supreme Court blocked a ballot initiative Wednesday that would have increased taxes on the wealthy to help raise money for schools.

Teachers, unions and activists have shifted their focus to the ballot box in recent months, after educators in six states walked out of their schools this year. Among their biggest targets was proudly libertarian Arizona, where proponents gathered far more signatures than the number necessary to put the tax initiative, called Invest in Education, on the ballot.

The court said, however, that the wording of the proposition could have confused voters about the extent of the proposed tax increase, in part because of questions about whether taxpayers’ income levels would be adjusted for inflation. The measure would have raised $690 million annually for education.

“This is absolutely stunning, and it denies citizens and teachers what they fought so hard for- the opportunity to fund our students and schools,” Noah Karvelis, a music teacher and one of the leaders of the Arizona walkout, said in an email. “Over 270,000 signatures were just thrown out by the court.” “This is not the end of our fight, by any means,” he added...More...



Read more: https://www.msn.com/en-us/news/world/arizona-supreme-court-removes-tax-initiative-from-ballot-a-blow-to-teachers/ar-BBMFDXC?li=BBnbcA1

---

The proposition would have raised income taxes by 3 to 4 % points on individuals and households earning more than $250,000. The court’s ruling against it increases the focus on the November elections in the state.

David Garcia, a Democrat and an education professor, is running to unseat Gov. Doug Ducey, a Republican who has fought to protect his bona fides as a tax cutter even as he signed legislation in May to raise teacher pay, ending the walkout. This fall a separate ballot question will determine the fate of the AZ voucher program, which uses tax dollars to help families pay private-school tuition.

In response to the court’s ruling on the income tax measure, Mr. Garcia said on Twitter: “The stakes for the race for governor in Arizona just changed utterly and irrevocably. We must elect pro-public education candidates up and down the ballot.”



Thousands of Arizona teachers marched in the capital to advocate for better teacher pay & school funding, April 2018.

[Crutchez_CuiBono]

1. god damn republicans.

Allll those marchers....all that effort to peacefully protest for a better life....changed by two or three political judges who swore to be non-partisan.

[at140]

2. Education is critical to producing better citizens

and should be funded adequately so they can hire best teachers based on merit. I would prefer if all incomes are taxed at 2% instead of arbitrary limits on income. Because every one needs education regardless of income and should contribute.

So if your income is $250,000 you contribute $5000.
If you earn $15,000 you chip in $300.

[0rganism]

3. a flat tax is a regressive tax

you need to think this over
$300 means a lot more to someone on a $15000 income than $5000 means to someone with $250000.
the flat tax canard gets floated a bunch by conservatives and libertarians, but it's a really lousy idea and you can figure out why if you give it a few minutes.

[KY_EnviroGuy]

4. K&R. Agree, progressive taxation is the most fair.

Not a taxation history expert, but a simple logical look at all the ways the wealthy benefit from government (including public education's benefits to their corporations) clearly proves they should pay more. Of course, they all deny that and cry unfair.

In fact, if corporations and the wealthy were fairly charged directly for all the benefits, they would change their tune instantly. A good size percentage of what our government does is corporate welfare in one form or another.

In the example given, $300 is a month's groceries for folks I know at that income level, while many in the wealthy class regularly run up bar tabs that high.

.........

[at140]

10. Everyone needs to contribute

if they want to use the benefit of good education. My life experience says we rarely appreciate free gifts, but if we worked for it, we appreciate it more.

When my kid was in college we paid all her expenses. She spent on all frivolous stuff. When she started working in a job, I noticed she became very careful in spending money.

I think income taxes is where progressive rates should occur.
If you make small amounts of income, you should not be taxed much if at all. If you make over $1 Million yearly income, you should pay at least 50% tax over that level. But consumption taxes such as sales, utility, & use taxes are acceptable in proportion to money spent.

[0rganism]

12. please don't move the goalposts

you were specifically discussing applying a flat tax to AGI (Adjusted Gross Income)
that is an income tax by definition.
i'll grant you that much depends on how the "Adjusted" part operates, but using the current flavors of adjustment where those with more income and sources of income have more opportunities for favorable adjustment, any flat tax on AGI is going to be quite regressive indeed.

btw, flat consumption taxes are also regressive. whether you can accept a given degree of regression as proportional is a matter of personal opinion, so i'm glad your current consumption tax rates are acceptable to you.

if it's super-important to you that even the poorest people need to pay some amount for public services, then that's another matter. one can mitigate the effects of such taxation by applying it to stratified assets like property - e.g. floating a school bond bankrolled by a flat increase to property tax, which is pretty common where i live. .

[at140]

16. 2% is a small token amount

If that is bothering you, then you should be really upset that long term capital gains of $100,000,000 are taxed at rates lower than if your total family income AGI was $60,000.

[0rganism]

17. depending on context

the capital gains tax rates are a sick joke that serve as direct evidence of how regressive our tax system has become, but that's non sequitur.

a 2% flat tax is a regressive tax. you can call it "small" or "token" if you like, that's up to your opinion. the simple fact remains that it is regressive. sure it won't sting like a 10% flat tax, but why regress at all if we don't have to?

i don't understand your reasoning around this. you agreed that income taxes should be progressive rather than regressive, yet you also expressed multiple times that a flat tax on income is a desirable method of revenue acquisition. which is it?

[at140]

18. I guess you may not have read all my posts.

I would like very progressive INCOME TAX RATES. That will reduce incentive to pay obscene paychecks to corporate CEO's and top executives. That money will then remain in the corporation and could be spent on actual expansion of business which means more jobs for ordinary workers. Your tax rate should be strictly based on total income, earned and unearned income combined.

On the other hand, user taxes should be same rates on such items as sales tax, utility tax, phone tax etc. It is also highly impractical to charge different rates to people shopping in stores or using phone service based on income.

Education is used by all and therefore could pay 2% surcharge tax on their TAXABLE income, which would be very small if you income is low.

For example if a family makes $45,000, they should get $30,000 personal deduction filing jointly, and with any other deductions their taxable income could be as low as $5000.
so their 2% tax would be based on only $5,000.

[christx30]

8. Is that $300 on top of all the other taxes and

fees we pay every day? Gas taxes, sales tax, vehicle registration fees going up every year, etc, on top of rising costs for food and rent, electricity, water, gas, internet. Where does it end? I’m sure there is a sports stadium or two that can be 86’ed. I feel like I pay more than enough.
I know if I suddenly had to pay an extra $300, my family would be sunk. I’d vote against it.

[at140]

9. I am thinking 2% of AGI

with deductions subtracted and personal exemption subtracted.
What is not progressive is income taxes. Everyone should get a personal deduction of $15,000 for each income earner and spouse. And income tax rates for incomes over $1 million should be at least 50% with no further loopholes and deductions.

[trc]

13. I am very confused by this:

If under this plan I make 999999.00 I pay 2%. but if I make 1000000.00 I pay $500,000?

[at140]

15. 2 different taxes

2% is contribution for education as a surcharge on AGI, 50% would be minimum tax on all income above 1 million, even if it is from capital gains (which get a large tax break).

corporate executives won't be getting obscene amounts of compensations if individual tax rates for incomes over $1 million were 50% to 75%.

[Racerdog1]

5. Back to the picket lines!

Shut the system down again, without you, they have nothing. The teachers have the power!

[lark]

6. Fucking Repug judges,

all they care about is the rich so they find a reason to disallow this. They don't care about anything other than taking all the money from the working class and giving it to themselves, as well as stopping all regulations because they don't care if children are educated, the rich will go to their expensive private schools and fuck the rest.

[sdfernando]

7. I'm not a Zonie...so I don't know

but can the Justices on the Supreme Court be voted out like in some other state?

[ChazII]

14. Good question and one

I should know the answer to. Arizona was one of the last states admitted to the union because we had the right to recall judges in our constitution. We had to take that clause out before Pres.Taft would okay us to join. After 2/14/1912 Arizona put the recall back in. Hopefully this site will have more information.

https://www.azcourts.gov/jpr/

[Hortensis]

11. GOOD if it helps flip AZ government blue. Then ballot initiatives

trying to bypass a governor and legislature controlled by knuckledragging, wealth-serving Republicans won't be needed.

Teacher problems are huge and righteous, and this is a shame, but they're only a small part of what's wrong with AZ.

Governor Ducey two years ago increased the number of judges on their supreme court by two, and two more conservative justices were added. That action was supported by the same AZ Chamber of Commerce that brought this action striking down the teachers' ballot initiative.

In running for reelection, Ducey claims to be for teacher raises, but education funding has declined over his time in office.

Arizonans need to BELIEVE THE ACTIONS, NOT THE WORDS.