By Catherine Barrett |
Low tax rates are essential for sustained growth and overall social wellbeing. Surveys show increased public support at 81% for reduced tax rates in Arizona. In support of teachers, activists such as those involved in the #REDforED movement, have emphasized the need for better measures that boost and enhance the overall reward scheme for teachers.
Reduced personal income tax will have a significant impact on the Arizona business community. A reduction of 2.5% in personal income tax evens the playground in the Arizona business environment. It will keep more money in small businesses, allowing them the much-needed resources for the growth and job creation. Without a doubt, Arizona’s business environment experience tax burden limits its attractiveness to external business and workforce. In addition, current tax policies have resulted in increased immigration outside the state. Employees are seeking a better working environment that has policies which enable them to keep a higher percentage of their earnings.
Furthermore, increased pocket income after-tax increases the family purchase power and reduces reliance on state interventions. The recommendations for tax reduction are also based on the state fiscal budget operated on-budget surplus. Thus, the recent proposal to increase the income tax is unwarranted harm to the local business community. Instead of increasing the tax burden, the state should adopt spending reforms. In the era of Covid-19, this proposal stands to impact natural and long-term effects on the Arizona people.
As a teacher activist, I support income tax relief so that employees, families, and businesses in Arizona survive and thrive during these challenging times. The Covid pandemic has negatively impacted business and families in Arizona. Income tax relief is essential to help the business and families under distress.
Catherine Barrett is an Arizona Governor’s Master Teacher and currently Chair of citizens initiative petition, A Classroom Code of Ethics For Public Schools K-12. You can find her on Twitter @ReadersLeadPD, and on Facebook at Yes4Ethics