January 10, 2010 |
Tags: Population, Taxes — admin @ 9:28 am
Scott Hodge, President of the Tax Foundation has an important analysis on Ohio’s tax climate and how it has negatively impacted the state. From the report:
At the heart of Ohio’s fiscal problems is a tax system and business climate that has been driving people out of the state for more than 15 years, resulting in a shrinking economy and a smaller tax base. At the same time, state government spending grew unchecked, resulting in a heavier tax burden on the state’s remaining citizens. Ohio taxpayers now have one of the highest tax burdens in the nation.
And:
Today, Ohio has the 7th highest state and local combined tax burden in the nation with taxes consuming 10.4 percent of the state’s income. As Chart 3 shows, this was not always the case. Forty years ago, Ohio had the 5th lowest state/local tax burden in the nation, with taxes consuming 8.7 percent of the state’s income. In just the past 10 years alone, the state has dropped 10 places in the rankings as the population flight accelerated.
From a regional competitiveness standpoint, Ohio is surrounded by states that, generally speaking, have much lower tax burdens. Michigan, Indiana, Kentucky, and West Virginia are all clustered in the middle of the national rankings (27th, 28th, 25th and 29th respectively), while Pennsylvania’s tax burden is 11th highest in the nation, but still lower than Ohio’s.

It’s clear Ohio cannot be competitive under its current tax structure. Please give us your thoughts on this critical subject.
The Tax Foundation is a nonpartisan tax research group based in Washington, D.C. You can read the entire analysis here.
Comments (25)
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Ohio along with California, New York, New Jersey, and other New England states must come to the realization that their citizens can either chose between total government entitlements and being enslaved or in breaking the strangle hole of entitlements and being free. It truly is a binary decision. There is entirely too much reliance on government to do everything for everybody. As more and more businesses leave, people leave also. The entitlement state is not sustainable. Cutting taxes alone is not the solution but rather total overhaul of government is needed.
Comment by Jim — January 11, 2010 @ 3:05 pm
This is exactly why we need to get rid of a state (& federal) income tax & the “death” tax. It’s killing business. The other thing Ohio needs to do is learn to live within a budget & save money for that “rainy day” fund. Individuals have to do it & state & fed govt needs to learn to as well. We can’t carry the burden that’s being heaped upon us. We’re being choked by state & fed govts.
We need to look at a state version of HR 25, Fair Tax.
Comment by Nancy — January 12, 2010 @ 1:24 pm
[...] here, here, here, and here. The word is getting out that Ohio has structural issues with its Tax system that require cutting [...]
Pingback by Ohio Spending Growth and Income Tax Options | Expert Reviews! — January 13, 2010 @ 3:42 am
Ohio is becoming the slush state for entitlement recipients in the greater midwest and the workers are leaving for surrounding states where they can choose how to spend their hard earned money. Eliminate government social re-engineering in Ohio to make it less inviting for the chronic indigents arriving with hands out for everything from food to houses to free satellite service. Restrict the flood of ‘government sanctioned ‘entitlements’ to necessities (like food and stipend toward rent and clothing) and they will leave for greener pastures. The workers will then return and be able to purchase with their own hard-earned funds their food, and housing and, yes, after saving for it, if they want satellite dish. Thank you for your time.
Comment by Kathy Sender — January 20, 2010 @ 3:25 pm
Taxes….The Center Piece of the Populous Movement…need to be revamped! But How? We live in a state where schools demand more and more funding, the transportation network is in disarray, and the entitlement programs grow larger each day.
What we really need is a “right to work law”. A law that removes the “strangle hold” over our schools, drivers up the cost of every public works project and adds millions of dollars of expense to federal mandated entitlement programs. I
am not saying we need to do away with unions. They have done good work in the past and can in the future. I am say we need them to compete in a open environment.
High paying jobs means more tax revenue but it also means greater expense to the state treasury for schools, public works and entitlements. An balnaced solution can and must be found if well paying jobs are going to return to this state and tax rates can return to better days.
Comment by Charles — January 20, 2010 @ 3:42 pm
Ohio needs a different tax structure for business.
We need to get businesses back into Ohio.
The people are leaving the high taxes and unemployment situation here in our state.
We need to put money into a rainy day fund for the bad times that hit when least expected.
The government needs to limit entitlements.
Welfare should be limited to two years.
Medicade should be given only to the most needy.
Get the young single mothers off welfare.
Help with child care, but they must help share the burden of their family with the rest of us.
Cut the size of government!!
Comment by Marti — January 20, 2010 @ 3:47 pm
It’s because everyone wants something for nothing. ex. I want all these entitlements but you need to be the one to pay for it.Soon, there will be no more goose to get the golden eggs from.
Comment by chris — January 20, 2010 @ 4:00 pm
In this world of technology, it is time for a revolution in the way we educate our children.
Via video feeds, it is possible to centralize education by using 20 or so of the absolute best teachers to be found. Testing would be done at the local level with class monitors earning a modest wage.
This system could also be used by private schools and those parents who select home schooling. Thus, assuring the best education in the world..
The savings would be in the billions of dollars.
Comment by Richard Closson — January 20, 2010 @ 4:01 pm
Time for FairTax. Please join http://www.fairtaxnation.com to show support. For more information about FairTax, go to http://www.fairtax.org.
Comment by Susan — January 20, 2010 @ 4:41 pm
ditto Susan – everyone needs to look into the Fair Tax
Comment by Karen — January 20, 2010 @ 5:30 pm
One of the reasons I left Ohio and moved to Florida. Here we have no state or local income taxes. The sales tax is at 6% and my property taxes are lower than the property taxes I pay on the house I still own in Ohio. Even without all the crazy taxes that Ohio has Florida finds a way to build new roads, schools, parks, etc., and still keep the infrastructure of its cities in good repair. Why can’t Ohio? Where is all that money really going? If Ohio ever gets its act together I would move back.
Comment by Donald Smith — January 20, 2010 @ 5:44 pm
The burden of taxes has doomed our state to a slow death. all of these taxes have been enacted not to provide for the support of our state as it pertains to providing the infrastructure and support of our state government and citizens. They have gone to support the entitlement programs for the illeagles and non producing people freeloading in our state. Two things we all know to be true 1. Religion belongs in the Church and 2. charity begins at home for your family and if you have enogh to help your neigbor in need you help him help himself. You don’t mandate it. For the illeagles the strm says it all THEY ARE STEALING FROM THE CITIZENS! In closing stop all the progressives taxes and cut the entitlements.
Comment by ARTHUR STEVENS — January 20, 2010 @ 8:27 pm
To Richard Closson, video feeds are the reason we are having so much trouble in schools today. Not because of overpaid teachers but under parented kids who are raised by “video feeds” we call the TV and internet. There is a social element that cannot be overlooked in the teaching of our kids and public schools are the “practice facility” for maturing physically, emotionally and intellectually…HS Teacher and parent.
Comment by Joseph Miller — January 20, 2010 @ 10:58 pm
After Bill Clinton signed NAFTA, Ohio industries started closing their doors & moving out of the country, creating the loss of thousands of jobs. Maybe a NAFTA reform is needed. Under the Taft administration, several scams were implimented in which, a complete investigation of a book trail should be implimented. Home Health care agencies are abusing the system. Champaign Counties, Champaign Residential Agency, under Than Johnson needs to be investigated for ACORN voting fraud & possible tax corruption, etc. Industries & institutions for the retarted (ie: Allen County “MARIMORE”) needs to be investigated. Heads of Office salaries are approximently &100,000.00 The FOODSTAMP Program has card carry-overs of $1000+. City Mayors & Administrators also needs to be investigated in WATER USAGE & PAYMENTS as well as PROPERTY MAINTAINTANCE. It doesn’t stop here…
Comment by Mary M. Gause — January 21, 2010 @ 1:12 am
[...] Mr Kasich’s blogsite, he shows deleterious tax information for Ohio and requests input. First, the deleterious tax [...]
Pingback by John Kasich Told Me “NO” « Truth Before Dishonor — January 21, 2010 @ 2:01 am
[...] Mr Kasich’s blogsite, he shows deleterious tax information for Ohio and requests input. First, the deleterious tax [...]
Pingback by Common Sense Political Thought » Blog Archive » John Kasich Told Me “NO” — January 21, 2010 @ 2:08 am
I’ve read the comments and see that there is a group of citizens from Ohio that: 1. tired of government spending on every issue. 2. have bad attitudes about how they are represented. 3. are willing to take care of those that need help but wish to cut off the lazy freeloaders.
I see this as the general feeling of all citizens in the USA.
Are we, the people really being represented, or is it big business, or special interest groups? Did we want the banking industry to be bailed out? Do we want medical care for all, including illegal immigrants? Save our ecomony, don’t buy things made in China, India, Japan or foreign countrieds, BUY what is made in the USA. Also, lets cut the foreign aid too governments that are so corrupt that their citizens never ever see our generosity.
Comment by Stephen Burdick — January 21, 2010 @ 8:57 am
Now that I am retired from HUD, I propose that we attempt a model program in Ohio that would “require” all subsidized recipients be required to “pay back” what they receive in benefits. They could serve as apprentice painters, landscape, plumbers – electricians assistants, day care, cooks, etc. If they rec’d $800. in rental assistance they would have to earn $800. toward their mo. commitment. If they violated the terms of their agreement, they would be subject to “penalties”.
They might even “learn” something and move into self-sufficiency.
I would be interested in working toward this end.
Comment by Donna J. Keagler — January 21, 2010 @ 11:20 am
In the city of elyria ohio they propose a new tax or increase on every election date. this past year they combined a school levy that would expire in one year with a school levy that would expire in three years . this new levy would be increased to a six year length but they promoted it as a renewal not an increase. we have had city income taxes increased , sales taxes increased, police and fire departments devastated but not one person cut from the mayors staff. they keep a schoolteacher in a cleveland public school system that speaks ebonics and runs dice/craps games with newspaper over her door window. she makes $65,000 a year for workin 9 months but they cut the police force there too but i cant enjoy a dinner or a game downtown without being harrassed , i can go on and on but want other peoples words to be read. thxs
Comment by d. mason — January 21, 2010 @ 10:53 pm
It seems our politicians (both past and present) don’t understand how taxes simply drive business and jobs away from Ohio. This would be exacerbated in Ohio by the “Cap & Trade” legislation. (It should rightly be called “Cap & Tax & Tax & Tax). The industries our state has relied on for many years are going to be decimated even more than already for no apparent reason. We should be looking to become less dependent on outside energy sources, for sure. But we don’t have to destroy our economy to do it. Let’s use what we have while ramping up alternative solutions. Taxing energy users is going to do 2 things: 1) Increase our utility bills geometrically and 2) Drive even more jobs from our state. Is there any way we, as a state, can counteract this terrible idea? Let’s work to get some of the jobs back in Ohio that have been squandered by our politicians. Having watched John Kasich for many years, I feel he is our best chance to bring Ohio back to a position of prominence and resolve some of the economic mess the next Governor will have to face.
Comment by Nick Wisda — January 22, 2010 @ 3:42 pm
The whole issue of unemployment in Ohio is due to the Govenors and the whimpy state congresses (senate and house) giving in to their leaders incesent drive to raise taxes on the tax payers in every area of our daily lives (eg. taxes on laundry/dry cleaning services) until businesses move out and new busnesses won’t consider Ohio as a place to move into.
Comment by Timothy L. Reed, CCE — January 22, 2010 @ 5:35 pm
I have been unemployed now 10 months as a skilled journeyman tool maker . I have heard President Obama , Mr. Strickland both say we need to create new jobs to put people back to work . Is not that what our grandfathers did in the first half of the 20th century . Then in the last 40 years of that century Federal and State governments looked the way as manufacturing jobs left this country for cheap wages and no benefits . Our elected officials literally sold the American worker down the drain and they will do it again unless someone stands in the gap !!! 90% of retail merchandise comes Mexico or over seas … WHY ? Is it any wonder WHY the American worker does not trust government with our health-care !!! KEEP JOBS HERE !!!!!!!!!!
Comment by Larry Abmyer — January 28, 2010 @ 10:34 am
Worried about the $13 trillion federal debt? This excludes $50 trillion + in underfunded social security/medicare/medicaid/pension promises that represent real debt also.
Think Ohio has a balanced budget? Ohio’s budget excludes tens of billions in underfunded government employee pension/health care promises that represent real debt also.
By using cash basis accounting, federal and state politicians perpetuate the heinous lie. Private sector management serve jail tems (rightfully so) for emulating politicians who keep getting elected.
Cure the fatal disease by reforming outrageously generous, inflation indexed, retirement promises to government union members which are then deliberately hidden from the electorate through inaccurate, stone-age accounting methods.
Comment by David Reddrop — January 29, 2010 @ 2:53 pm
I don’t have faith or trust in either party. In all the time I’ve been voting, one or the other has always been in party and we now have this incredible mess. Kasich didn’t even have the fortitude to take on the NWO puppet-elect Bush in 2000. Why should I trust him? If he’s willing to compromise his values and principles to allow a neo-con into office, I believe he’s going to be no better than the fake paradigm party leaders we’ve had since Reagan left office. If Kasich is the real thing, he will lead the way to repeal NAFTA (via state’s rights legislation), end Ohio’s version of the Patriot Act, cut taxes, eliminate the welfare state in Ohio, and place our state back on U.S. Constitutional values. I don’t think he, or any Democrat challenger, has enough moral fortitude or moral background to do that though. The illusionary two party system is nothing more than in name, being controlled and manipulated by mutli-national corporations. As like post #22, I’m a journeyman tool and die maker and senior engineering designer, who’s watched manufacturing exit this country due to malicious trade agreements (NAFTA, GATT, CAFTA), seeing our country becoming a puppet to lobbyists and special interests. While he was in office, Kasich voted for giving China first nation status (when that should go to the U.S.) and voted for NAFTA. Unless Kasich can come out and denounced his past errors, I cannot support him. And trust me, whomever the Democrats put up there, I believe the exact same thing. Again, both parties are complicit into taking this country into a near third world status, so why on earth would I support either. They need to earn my trust, since they both were instrumental in destroying my trust in this governmental process. People need to know we are a Constitutional Republic first and NOT a democracy (as too many liars keep repeating). It’s the analogy of the two wolves and sheep deciding on dinner. The two wolves are a democracy and the sheep will never win. Currently, the politicians see us as nothing more than the sheep and their wolf jaws are drooling to take us out once and for all.
Comment by Jimm Motyka — May 5, 2010 @ 7:59 pm
I think this should be share with others….
Last Thursday night I attended the Regionalism forum in Mentor sponsored by the Heritage Club, along with a few other members of our group. The information that was provided at this meeting was exceptional….and frightening. Since not many of our members attended, I thought it was important to make sure everyone in our group have the information that was given and I hope that you will share this with others also.
The panel of speakers consisted of Dan Anderson, mayor of Willoughby, Ray Sines, Lake County Commissioner and a concerned citizen by the name of Dick Kutas from Concord township. By far the most important information came from Mr. Kutas who has been following this issue from its inception and is a fellow patriot. Most of the information that I will pass on to you is from Mr. Kutas. I will paraphrase him below:
“The Regional Economic Revenue Study started in the spring of 2006 by the Northeast Ohio Mayors & City Managers Association. It is an initiative to explore region-wide planning and revenue sharing. The research is funded by 80 organizations including: The Fund for Economic Future, Third Frontier and the Cleveland Foundation. It would form a region of 16 counties encompassing 487 cities, townships and villages, including Ashtabula, Akron, Cleveland and Youngstown. One of its goals is to stimulate regional land use and infrastructure planning and provide equity in the growth in a community then redistribute the money back to the participating communities on some criteria other than their contributions to the pool, reducing tax base disparities.”
Folks, regionalism is socialism. The Wikipedia definition for socialism is: “Any system that tries to plan the economy, to make less difference between the rich and poor. Another kind of Socialism is collectivism. In this system, money and goods are shared more equally among people with the government in control.”
Now, in 2008 a bill was passed in the Ohio House, SB521, that established a committee to research regionalism further. This committee is called The Ohio Commission on Local Reform and Collaboration.
This committee consisted of 3 Gubernatorial, 3 House speaker and 3 Senate President appointees. Their stated goals were to find ways to:
#1 consolidate or eliminate local governments,
#2 find a way around existing state law and
#3 reduce, eliminate or revise public services.
It is also their stated purpose to revitalize distressed areas (with our tax money!) and levelize tax disparities (give to the poor).
This commmittee is further looking at:
#1 How to change current state laws to accommodate their plan,
#2 Would give incentives to those communities who join the region, and
#3 to penalize those communities who don’t.
This committee meets once a month and as far as I could tell does not allow public testimony. I will find out more on that and address that in another email to you. However, they are required to have their committee findings on the Governor’s desk on 7/1/10!
Disturbed that all this has happened under our noses with basically no outrage by our legislators, I started looking into HB521. This bill was never passed on its own. Instead, it was merged into Capital Appropriations Bill HB562, 127th Assembly. This was the same bill that authorized the restructuring of Cuyahoga County (sound familiar). To see how your legislators voted on this bill go to: http://www.legislature.state.oh.us/votes.cfm?ID=127_HB_562.
Quoting Mr. Kutas again: “Simply, this is a redistribution of wealth and a land grab. Taking from communities with a sound tax base, excellent schools, acceptable services and useable land for development and equalizing a few of the proposed participating communities. This is a regional sharing of future taxes, possibly school millage, present services and future land use.”
If the Progressives have their way, local government will be a thing of the past. You will no longer have elected township trustees or mayors, or even county commissioners. You will have one elected position per region, and all other positions will be appointed by the person in charge of the region. Think Cuyahoga county……..
We now have group members who are diligently watching and reading bills before they are passed to try to alert us when our liberties are being tossed away. We must at all cost stand against this blatant move toward socialism. We will be watching for the report from this committee and when we have it we all may need to contact our Township Trustees, mayors, County commissioners, media and whomever will listen to fight this invasion of our rights. This is unacceptable and we cannot stand by and allow this to happen!!!!
Jean
Comment by Jeannine Soltis — June 6, 2010 @ 9:33 am