Wednesday, August 21, 2013

Life in "Progress" State - California edition


One conversation I find interesting is discussing what makes economies great.

Most liberals usually go to the place that most of America's wealth comes from the Anglo-exploitation of conquered colonies.

I offer that it comes from the establishment of the rule of law which limits economic uncertainty for commerce to thrive.

The U.S. used to be that kind of place but now we have California who doles out tax cuts for businesses and then takes them back...............

Small business owners in California who were promised big tax breaks by the state government are now being ordered to pay possibly thousands in back taxes after a court ruling last year.
CBS Sacramento reports the state promised the tax breaks for opening certain kinds of businesses five years ago, but a court ruled the practice unconstitutional in December.
Now, the California Franchise Tax Board wants their money. The station reports an estimated 2,000 small businesses will be forced to pay up their retroactive taxes, totaling as much as $120 million. 

Some businesses will face a bill of as much as $200,000.
“It sends a message that you can’t trust government,” Ken DeVore with the National Federation of Independent Businesses tells CBS Sacramento. “If you comply in good faith with the rules, they can go back and penalize you.”
California Sen. Ted Lieu, D-Redondo Beach, is fighting back against the taxes. His bill to block the taxes passed a Senate panel last month, and now faces a fiscal review from the Senate Appropriations Committee.
This is akin to jumping into a poker game and having some dude in a robe walk in and state that three of a kind now beats a straight.

Who wants to play in that environment?



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