Copyright 2000 Times Publishing Company
St.
Petersburg Times
May 22, 2000, Monday, 0 South Pinellas
Edition
SECTION: NATIONAL; Pg. 3A
LENGTH: 676 words
HEADLINE:
Tax breaks for specific groups, like teachers, are divisive, unfair
BYLINE: SARA FRITZ
DATELINE:
WASHINGTON
BODY:
Who among us deserves a tax
exemption?
That is a question being asked once again as a result of
California Gov. Gray Davis' proposal to exempt public school teachers from
paying state income taxes.
For those of us who think many teachers are
woefully underpaid, Davis' proposal seems like a good idea at first blush.
If states and local school districts cannot pay teachers a good wage, why not at
least exempt them from paying taxes?
But wait.
Stephen Moore,
director of fiscal policy studies at the Cato Institute, a libertarian think
tank, notes that granting a tax exemption to teachers is a declaration by the
government that teachers are more deserving than, say, construction workers.
"I doubt if many construction workers would agree," Moore says.
Indeed, our tax policies are often based on a values system not everyone
shares.
For example, I know many people who question why parents should
get a tax deduction for every child they bring into this world. These folks feel
our society would be better off with fewer children. And as the mother of two
slothful teenagers, I sometimes see their point.
There also is deduction
of interest on home mortgages. This deduction made more sense before a growing
number of middle-class Americans began building mini-mansions in the suburbs and
second homes at the beach.
But parents and homeowners are not the only
beneficiaries of our national tax preferences. Let's not forget about the
ethanol producers and the tax-exempt organizations posing as charities that are
dumping millions of dollars of soft money into our elections without disclosing
the funding source.
Every year, new special interests line up to lobby
the House Ways and Means Committee for additional tax exemptions.
This
year, it seems the most persuasive case for a tax break is
being made by businesses that sell their goods on the Internet.
These fledgling dot-coms argue they would be snuffed out if their customers had
to pay sales taxes, like the customers of bricks and mortar
retail outlets.
I've also heard that the nation's yacht manufacturers,
having defeated a proposed luxury tax a number of years ago, have returned to
Washington seeking a tax exemption for their industry. This certainly would be
consistent with giving tax breaks to those poor people struggling to maintain
second homes at the beach.
Of course, none of us likes to pay taxes. But
Moore, who advocates abolition of the federal income tax, argues that our
political leaders are undermining support for the government by offering too
many tax breaks to special interests and, therefore, making the tax code highly
unfair for the rest of us.
"This first principle of a fair tax system is
a low rate and a wide base," Moore observes. "Instead, we are moving toward
a high rate and a narrow base. Picking winners is contrary to the idea of
fairness in taxation. It is counterproductive. I think it's very destructive to
our democracy."
It might surprise you to learn that at least one major
organization representing California teachers - the California Federation of
Teachers - has rejected Davis' idea of tax breaks for its members,
obviously fearing such a step could make the organization less popular than it
already is.
You can just imagine how angry a tax-paying California
parent might get if a "blankity-blank, tax-dodging public school
teacher" flunks his kid in algebra.
"We are willing to pay
taxes," CFT President Mary Bergan told the Los Angeles Times last week.
"Just pay us a professional salary and we'll pay taxes on it. Even though we
appreciate the governor's assertion that teaching is the most important job now,
there are a lot of other jobs that are also important, and to single teachers
out causes division and dissension within schools."
An admirable
sentiment, don't you think? This gives me renewed respect for the wisdom of
public school teachers. It's too bad the yacht manufacturers and the ethanol
producers are not as civic-minded as the leaders of the California Federation of
Teachers.
LOAD-DATE: May 23, 2000
