Texas poor, middle class would see no relief from tax bill

[rainbow4321]

http://www.mysanantonio.com/sharedcontent/APStories/stories/D88U63U00.html

A massive restructuring of Texas' tax code, driven by promises to reduce school property taxes on homeowners, would provide no financial relief to Robin Nordstrom. Like millions of Texas families, Nordstrom, his pregnant wife and their 2-year-old son rent their home, a south Austin duplex.

While a $10.8 billion tax bill passed by the House is designed to offset property taxes, those who rent would see an increase in their out-of-pocket expenses from an increased sales tax.

Under the tax bill, the state sales tax would jump from 6.25 percent to 7.25 percent — the highest state sales tax in the nation. It would be expanded to cover bottled water, car washes and auto repair. Staples such as groceries, medicines and diapers would remain exempt from sales taxes. But an additional 3 percent would be levied on snacks such as soft drinks, chips and cookies.

"This bill would help mainly Texans who have expensive homes or own large capital intensive businesses," said Dick Lavine, senior analyst with the Center for Public Policy Priorities, which advocates for low-income Texans. "That is very few Texans. In fact, the 80 percent who have incomes under $100,000 a year would be net losers under this bill. Most people would pay more in higher sales taxes and cigarette taxes and see their wages affected by the new business tax."

[elehhhhna]

1. 7% on auto repair-I call bullshit. Kicks you when you're down.

7% because you're past warranty. Thanks.

[BlueJazz]

2. Yes Sir Ree-Bob! ...Them Texans sho-do Looove those...

..Rubublicans cause they stand up for da workin' man!