The road to hell is paved with good intentions.
I don't know who coined the term or where it originated, but it sure applies to a current effort in the Indiana General Assembly to raise the tax on alcohol in the state. A bill known as House Bill 1604 will double Indiana's current alcohol tax if passed and signed into law.
The reason for the tax increase is that some of the communities, most notably nearby Fort Wayne, would benefit from the increased revenues. The problem is that it's another tax.
To me, taxes are the same as government; it's a necessary evil, best taken in small doses, and as few as possible. I have the same problem with tax increases on cigarettes. The reason for that is the added revenues which would go to fund health care programs, but at what cost? The issue of one's health is something best left to the individual, which is why the idea of taxing cigarette and alcohol purchases does not sit well with me.
In addition, tax increases have been known to cause the well to dry up, so to speak, because people spend less after having to pay more in taxes. So how will it be a guarantee for some of the communities in Indiana to get the projected revenues after the tax increases?
Finally, it is simply unfair to those who want to purchase cigarettes or any kind of alcohol for their own purpose. Not good for one's health, yes it is, but who am I to tell somebody they should pay more in taxes when they buy cigarettes or alcohol?
In the end, what is the cost of an increase of the alcohol tax in Indiana? Companies that make alcohol probably will make less money, places of business that sell it will probably make less, cities like Fort Wayne won't get as much money as they expect from the increase, and our freedom to purchase items of our choosing will be threatened more so. An increase of the alcohol tax isn't worth it, in my opinion.
2 comments:
The problem with "sin taxes" is they are always sold as a way to pay for some benefit--usually health related and "for the children." They fund the program until, as you said, the well goes dry. The revenue goes away, but does the program??? Never!!!! They then hit you with another tax to pay for the bureaucracy the program set up.
Exactly, which is why it is so important to keep a tight rein on government (especially concerning taxes), because it doesn't take much for the necessary evil to create unnecessary evils.
Hopefully, we'll send more Senators & Congressmen that'll understand and work to overhaul our tax system.
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