Proposals to offer cuts to the state's estate tax as well as capital gains tax are being hashed out behind the scenes by Republican state lawmakers, House Minority Leader Bill Batchelder, a Medina Republican, acknowledged this week.
Ohio is now in a situation where there is a huge shortfall in the state's revenues at a time when ordinary Ohioans are needing more and more government assistance. A large reason for the state's budgetary problems was the reckless tax cuts that the Republicans passed in 2005. Those tax cuts were targeted toward the rich. Now, with Ohio facing a multi-billion dollar shortfall, Republicans want even more tax cuts for the wealthy.
The Republican rationale for the tax cuts is that supposedly rich people are fleeing the state. Well here are some questions for the House Republicans:
1. How many rich people are fleeing the state because of the state's estate and capital gains taxes as opposed to fleeing the state for other reasons?
2. How many of those that are "fleeing the state" will stay if these tax cuts are passed"
3. What is the effect on the state's revenues if this proposal passes?
4. How will the Republicans make up any revenue loss?
How much do you want to bet that the House Republicans won't be able to provide answers to those questions?