Mitt Romney, smarting from the fact that President Obama publicly commented on his rather protuberant silver spoon, decided to go on the offensive, pouting that Obama “likes to attack” people who are “successful,” and, in a comic effort at misdirection, notes that he, Romney, won’t apologize for the success of his self-made father. We can only assume that he’s not willing to apologize for own silver-spoon-fed self either.

Mitt’s defense of success will probably work better, though, than his wife’s efforts to claim fellowship with struggling Americans by sharing her stories of their youthful hardships. According to Ann, in order to make ends meet and ensure that she could stay home with the brand new little Romneys, graduate student Mitt actually had to cash in some of the stock portfolio with which his father endowed him. Oh the horror!  At least Mitt’s response makes his allegiances clear.

The sad thing is that Mitt’s loyalties don’t differ much from the rest of the GOP. While Mitt’s defending the successful, the U.S. House is going after food stamps. These are the same GOPers who voted uniformly for the cruel Ryan Budget that would gut the safety net, Medicaid and Medicare while giving Mitt and his wealthy friends even bigger tax breaks than they already have – all of which Romney, ever the champion of the successful, adamantly endorses.

Certainly, our Missouri GOP has bought into the defense of the successful big time – although they seem to prefer the other GOP designation for wealthy corporate elites, “job creators.” Efforts by a few rogue Democrats to reform the individual income Missouri tax code are routinely ignored – in spite of the fact that the current outmoded tax structure not only fails to bring in sufficient revenue to meet state needs, but puts the greatest burden on low and middle income tax payers. But that doesn’t mean that the GOP anti-tax drones don’t want to fiddle with the tax code. In fact they’re proposing to cut the state’s insufficient revenue by many more millions by halving the Missouri corporate tax rate – a rate that is already one of the lowest in the country.

And what does the GOP defense of the successful do for Missourians? It certainly doesn’t seem to create many jobs. But on the other hand, we here in Missouri have been treated, thanks to our legislators, to a most edifying debate about whether or not to slash services to the blind or to higher education. Most recently, our stalwart defenders of the successful have been pondering massive cuts to children’s services.

The cuts could affect over 5000 children in day care, many of whose parents might have to give up jobs and return to welfare; result in the loss of 42 jobs and the loss of over $500,000 in federal funds; threaten the Children’s Division’s standing with the Council on Accreditation, and reduce adoption subsidies at a time when the number of children entering the foster system has increased by 10% over past years.

But hey, no matter what pain he’s willing to inflict on folks struggling with hard times, Sen. Kurt Schaefer and his GOP pals on the Senate Appropriations Committee he chairs, the folks who are floating this latest attack on poor Missourians, will no doubt be more than willing to stand with Mitt Romney and continue to proudly defend those who have been successful.

Via the Economist’s View.

Center on Budget and Policy Priorities.

What the republicans believe:

Wednesday, January 18, 2012

Should We Feel Sorry for the Wealthy?

….Are the wealthy paying to much in taxes?: Ari Fleischer, the former White House Press Secretary for U.S. President George W. Bush, has been trying to make the case on Twitter that the wealthy are taking on more of the tax burden than ever….

What the republicans leave unsaid:

….Let’s take the top 1% first. Between 1979 and 2007 income for this group grew by 275 percent, and the share of income doubled from around 10 percent to around 20 percent of total income. However, the share of taxes for this group less than doubled. Thus, a doubling of income resulted in less than a doubling of taxes. Given that income growth outpaced tax growth, it’s hard to see how we can describe this as an increase in the tax burden for the top 1%….

[emphasis added]

It’s a wash for the “middle class”, but:

….Thus, the notion that the rich are paying more, and middle income families are paying less — that income is being redistributed from the rich to the middle — does not hold up to further scrutiny. The rich are doing better than ever, tax rates are at historic lows for this group, and their share of taxes has not risen by as much as their share of income….

[emphasis added]

And the bottom?:

….First, it’s highly misleading to just look at federal taxes for this group. The federal tax burden is relatively low for this group, but when state taxes, sales taxes, and the like are factored in the burden is relatively high….

….Mitt Romney pays 15 percent, or thereabouts (probably a bit more when state and local taxes are accounted for), while this group pays more than 15 percent in taxes even though their incomes are very low. Enough said about who faces a larger tax burden….

[emphasis added]

Go. Read the whole thing.

There’s a class war and the 1% are winning.

Finally.

“….Now, the Republicans, when I talked about this earlier in the week, they said, well, this is class warfare.  You know what, if asking a billionaire to pay their fair share of taxes, to pay the same tax rate as a plumber or a teacher is class warfare, then you know what, I’m a warrior for the middle class.  (Applause.)  I’m happy to fight for the middle class.  I’m happy to fight for working people.  (Applause.)  Because the only warfare I’ve seen is the battle against the middle class over the last 10, 15 years….”

The White House transcript:

The White House

Office of the Press Secretary

For Immediate Release

September 22, 2011

Remarks by the President on the American Jobs Act — Cincinnati, OH

Hilltop Basic Resources-River Terminal, Cincinnati, Ohio

2:55 P.M. EDT

       THE PRESIDENT:  Hello, Cincinnati!  (Applause.)  Well, it is good to see all of you.  It is good to be back in Cincinnati.  (Applause.)  I have to say I drove by the Bengals’ practice — (laughter.)  And I was scouting out some plays in case they play the Bears — (laughter.)  Did I hear somebody boo the Bears?

       AUDIENCE:  Booo!  (Laughter.)  

       THE PRESIDENT:  We’ve got some folks I just want to make sure are acknowledged here today.  First of all, the Secretary of Transportation, Ray LaHood, is in the house.  Give him a round of applause.  (Applause.)  We’ve got the mayor of the great city of Cincinnati — Mark Mallory is here.  (Applause.)  We’ve got the mayor of Covington, Mayor Denny Bowman.  (Applause.)  Senator Rand Paul is here.  

       AUDIENCE:  Booo –…

…THE PRESIDENT:  Rand is going to be supporting bridges, so we’ve got to — (applause.)  And we’ve got Congressman John Yarmuth in the house.  (Applause.)  

       Now, it is good to be back.  I was just in Columbus a little while ago, and I figured I couldn’t get away with not giving     Cincinnati a little bit of love.  (Applause.)

       I want to thank the good folks at Hilltop Concrete for having us here today.  I especially want to thank Ron for his introduction.    

       Companies like Hilltop, construction companies, have been hit harder by this economic crisis than almost any other industry in America.  And there are millions of construction workers who are still out there looking for a job.  They’re ready to work, but things have been a little tough.  That doesn’t mean that there is not plenty of construction waiting to get done in this country.  

       Behind us stands the Brent Spence Bridge.  It’s located on one of the busiest trucking routes in North America.  It sees about 150,000 vehicles every single day.  And it’s in such poor condition that it’s been labeled “functionally obsolete.”  Think about that — functionally obsolete.  That doesn’t sound good, does it?  

       AUDIENCE:  Nooo!

       THE PRESIDENT:  It’s safe to —

       AUDIENCE MEMBER:  Kind of like John Boehner.  (Laughter.)  

       THE PRESIDENT:  It’s safe to drive on, but it was not designed to accommodate today’s traffic, which can stretch out for a mile.  Shipping companies try to have their trucks avoid the bridge.  Of course, that only ends up costing them more money as well.  

       The thing is there are bridges and roads and highways like that throughout the region.  A major bridge that connects Kentucky and Indiana just closed down for safety reasons.  Another aging bridge that crosses over the Ohio River in Ironton could be replaced right now.  There are rail stations in Cleveland and Toledo in desperate need of repair.  And the same is true in cities and towns all across America.  It makes your commute longer.  It costs our businesses billions of dollars — they could be moving products faster if they had better transportation routes.  And in some cases, it’s not safe.

       Now, we used to have the best infrastructure in the world here in America.  We’re the country that built the Intercontinental Railroad, the Interstate Highway System.  (Applause.)  We built the Hoover Dam.  We built the Grand Central Station.  (Applause.)  So how can we now sit back and let China build the best railroads?  And let Europe build the best highways?  And have Singapore build a nicer airport?  At a time when we’ve got millions of unemployed construction workers out there just ready to get on the job, ready to do the work to rebuilding America.  (Applause.)

       So, Cincinnati, we are better than that.  We’re smarter than that.  And that’s why I sent Congress the American Jobs Act 10 days ago.  (Applause.)  This bill is not that complicated.  It’s a bill that would put people back to work rebuilding America — repairing our roads, repairing our bridges, repairing our schools.  It would lead to jobs for concrete workers like the ones here at Hilltop; jobs for construction workers and masons, carpenters, plumbers, electricians, architects, engineers, ironworkers — put folks back to work.  (Applause.)  

       There is work to be done, and there are workers ready to do it.  So let’s tell Congress to pass this jobs bill right away.  (Applause.)

       AUDIENCE:  Pass this bill!  Pass this bill!  Pass this bill!

       THE PRESIDENT:  Pass this bill!  (Laughter.)  Pass the bill!

       Tell them to pass the jobs bill, and not only will we start rebuilding America, but we can also put thousands of teachers back to work.  (Applause.)  

       I was with the President of South Korea — I was up at the United Nations.  We were doing a bunch of stuff.  And he’s told me in the past — I’ve asked him, I said, what’s your biggest challenge?  He says, oh, education.  I said, well, what are you dealing with?  He said, well, you know what, we’re hiring so many teachers we can barely keep up, because we know that if we’re going to compete in the future we’ve got to have the best teachers.  (Applause.)  And we’ve got to have our kids in school longer.  And we’ve got to make sure that they’re learning math and science.

       Well, while they’re hiring teachers in droves, what are we doing?  We’re laying off teachers.  It makes no sense in this new global economy where our young people’s success is going to depend on the kind of education that they get.  So for us to be laying off teachers doesn’t make sense for our kids, it doesn’t make sense for us, it doesn’t make sense for our economy.  

       Pass this jobs bill and put teac
hers back in the classroom where they belong.  (Applause.)

       AUDIENCE:  Pass this bill!  Pass this bill!  Pass this bill!

       THE PRESIDENT:  They need to go and pass it.  

       Tell Congress to pass this jobs bill, and companies will get tax credit for hiring America’s veterans.  (Applause.)  We’ve been through a decade of war now.  Almost 2 million people have served.  And think about it.  They’re suspending their careers; they’re leaving their families; they’re putting themselves in harm way — all to protect us.  The last thing they should have to do is fight for a job when they come home.  (Applause.)  And if we pass this jobs bill it makes it easier for employers to hire those veterans.  That’s why we need to tell Congress to do what?  To pass the bill.

       AUDIENCE:  Pass this bill!  Pass this bill!  Pass this bill!

       THE PRESIDENT:  The American Jobs Act will cut taxes for the typical working family by $1,500 next year.  It will cut taxes for every small business in America.  It will give an extra tax cut to every small business owner who either hires more workers or raises those workers’ wages.  How many people here would like a raise?  (Applause.)

       And we know that most small businesses are the creators of new jobs.  We’ve got a lot of folks in Congress who love to say how they’re behind America’s job creators.  Well, if that’s the case, then you should be passing this bill, because that’s what this bill is all about, is helping small businesses all across America.

       Everything in this jobs bill has been supported in the past by Republicans and Democrats.  Everything in this jobs bill is paid for.  The idea for a big boost in construction is supported by the AFL-CIO, but it’s also supported by the Chamber of Commerce.  Those two don’t get along on much, but they agree we should rebuild America.  (Applause.)

       And, by the way, thanks to the reforms that we’ve put into place, when we start rebuilding America we’re going to change how business is done.  No more earmarks.  No more boondoggles.  No more bridges to nowhere.  We’re going to cut the red tape that prevents some of these construction projects from getting started as quickly as possible.  And we’ll set up an independent fund to attract private dollars and issue loans based on two criteria:  how badly is a construction project needed, and how much good will it do for the community.  Those are the only things we should be thinking about.  Not politics.  (Applause.)  And, by the way, that’s an idea that’s supported by a Massachusetts Democrat and a Texas Republican.  It’s a good idea.  

       So my question is, what’s Congress waiting for?  Why is it taking so long?  Now, the bridge behind us just happens to connect the state that’s home to the Speaker of the House —

       AUDIENCE:  Booo —

       THE PRESIDENT:  — with the home state of the Republican leader in the Senate.

       AUDIENCE:  Booo —

       THE PRESIDENT:  Now, that’s just a coincidence.  (Laughter.) Purely accidental that that happened.  (Laughter.)  But part of the reason I came here is because Mr. Boehner and Mr. McConnell, those are the two most powerful Republicans in government.  They can either kill this jobs bill, or they can help pass this jobs bill.  (Applause.)  And I know these men care about their states. They care about businesses; they care about workers here.  I can’t imagine that the Speaker wants to represent a state where nearly one in four bridges are classified as substandard — one in four.  I know that when Senator McConnell visited the closed bridge in Kentucky, he said that, “Roads and bridges are not partisan in Washington.”  That’s great.  I know that Paul Ryan, the Republican in charge of the budget process, recently said that “you can’t deny that infrastructure does creates jobs.”  That’s what he said.  

       Well, if that’s the case, there’s no reason for Republicans in Congress to stand in the way of more construction projects.  There’s no reason to stand in the way of more jobs.  

       Mr. Boehner, Mr. McConnell, help us rebuild this bridge.  (Applause.)  Help us rebuild America.  Help us put construction workers back to work.  (Applause.)  Pass this bill.  

       AUDIENCE:  Pass this bill!  Pass this bill!  Pass this bill!  Pass this bill!

       THE PRESIDENT:  Let’s pass the bill.

       AUDIENCE:  Pass this bill!  Pass this bill!  Pass this bill!

       THE PRESIDENT:  Now, some folks in Congress, they say, well, we don’t like how it’s paid for.  Well, it’s paid for as part of my larger plan to pay down our debt.  And that’s why I make some additional cuts in spending.  We already cut a trillion dollars in spending.  This makes an additional hundreds of billions of dollars in cuts in spending, but it also asks the wealthiest Americans and the biggest corporations to pay their fair share of taxes.  (Applause.)

       Now, that should not be too much to ask.  And by the way, it wouldn’t kick in until 2013.  So when you hear folks say, oh, we shouldn’t be raising taxes right now — nobody is talking about raising taxes right now.  We’re talking about cutting taxes right now.  But it does mean that there’s a long-term plan, and part of it involves everybody doing their fair share.  (Applause.)

       THE PRESIDENT:  Now, this isn’t to punish success.  What’s great about this country is our belief that anybody can make it. If you’re willing to put in the sweat, if you’re willing to roll up your sleeves, if you’re willing to work hard, you’ve got a good idea, you’re out there taking a risk — God bless you.  You can make millions, you can make billions of dollars in America.  This is the land of opportunity.  (Applause.)  That’s great.  All I’m saying is, if you’ve done well — I’ve done well — then you should do a little something to give something back.  (Applause.) You should want to see the country that provided you with this opportunity to be successful, and be able to provide opportunity for the young people who are going to be coming up behind you.  (Applause.)

       And all I’m saying is that everything should be fair.  You know, you learn the idea of fairness when you’re two, three years old.  Right?  You’re in the sandbox and you don’t want to let somebody play with your truck — (laughter) — and your mom or your daddy go up and they say, “No, hon, that’s not fair, you’ve got to share.”  Isn’t that what they say?  Things have to be fair.  So all I’m saying is that Warren Buffett’s secretary should not be paying a lower [sic] tax rate on her income than Warren Buffett.  (Applause.)  That doesn’t make any sense.  A construction worker who’s making 50 or 60 grand a year shouldn’t be paying higher tax rates than the guy who’s making $50 million a year.  (Applause.)  And that’s how it’s working right now.  Because they get all these loopholes and tax breaks that you don’t get.

       So for me to say, let’s close those loopholes, let’s eliminate those tax breaks, and let’s make sure that everybody is paying their fair share — there’s nothing wrong with t
hat.  (Applause.)  

       Now, this is about priorities.  It’s about making choices.  If we just had all kinds of money and everybody was working, and we hadn’t gone through the worst financial crisis since the Great Depression, then maybe we wouldn’t have to make choices.  But right now we’ve got to make some choices.  We’ve got to decide what our priorities are.  If we want to pay for this jobs plan, and close the deficit, and invest in our infrastructure, and make sure we’ve got the best education system in the world, the money has got to come from some place.  Would you rather that the oil companies get to keep their tax loopholes?  

       AUDIENCE:  No!

       THE PRESIDENT:  Or would you rather make sure that we’re hiring thousands of construction workers to rebuild America?  (Applause.)  Would you rather keep in place special tax breaks for millionaires and billionaires?  

       AUDIENCE:  No!

       THE PRESIDENT:  Or would you say, let’s get teachers back in the classroom so our children can learn?  (Applause.)  

       Now, the Republicans, when I talked about this earlier in the week, they said, well, this is class warfare.  You know what, if asking a billionaire to pay their fair share of taxes, to pay the same tax rate as a plumber or a teacher is class warfare, then you know what, I’m a warrior for the middle class.  (Applause.)  I’m happy to fight for the middle class.  I’m happy to fight for working people.  (Applause.)  Because the only warfare I’ve seen is the battle against the middle class over the last 10, 15 years.

       It’s time to build an economy that creates good, middle-class jobs in this country.  It’s time to build an economy that honors the values of hard work and responsibility.  It’s time to build an economy that lasts.  And, Cincinnati, that starts right now.  That starts with your help.  (Applause.)  Maybe some of the people in Congress would rather settle their differences at the ballot box than work together right now.  In fact, a while back, Senator McConnell said that his “top priority” — number-one priority — was “to defeat the President.”  That was his top priority.

       AUDIENCE:  Booo —

       THE PRESIDENT:  Not jobs, not putting people back to work, not rebuilding America.  Beating me.  Well, I’ve got news for him, and every other member of Congress who feels the same way.  The next election is 14 months away, and I’ll be happy to tangle sometime down the road.  But the American people right now don’t have the luxury of waiting to solve our problems for another 14 months.  (Applause.)  A lot of folks are living paycheck to paycheck.  A lot of folks are just barely getting by.  They need us to get to work right now.  They need us to pass this bill.  (Applause.)

       So I’m asking all of you — I need everybody here to lift your voices — not just in Cincinnati, but anybody who’s watching TV, or anybody who’s within the range of my voice — I want everybody to lift up their voices.  I want you to call.  I want you to email.  I want you to tweet.  I want you to fax.  I want you to visit.  If you want, write a letter — it’s been a while. (Laughter.)  I want you to tell your congressperson that the time for gridlock and games-playing is over.  Tell them you want to create jobs, so pass this bill.  (Applause.)  

       If you want construction workers rebuilding America — pass this bill.  (Applause.)  If you want teachers back in the classrooms — pass this bill.

       AUDIENCE:  Pass this bill!

       THE PRESIDENT:  If you want to cut taxes for middle-class families — pass this bill.

       AUDIENCE:  Pass this bill!

       THE PRESIDENT:  If you want to help small businesses, what do you do?

       THE AUDIENCE:  Pass this bill!  

       THE PRESIDENT:  If you want veterans to share in the opportunities of this country, what should you do?

       THE AUDIENCE:  Pass this bill!

       THE PRESIDENT:  Now is the time to act.  Because we are not a people that just sit back and wait for things to happen.  We go ahead and make things happen.  We’re tougher than the times we live in.  We are bigger than the politics that we’ve been seeing these last few months.  Let’s meet this moment.  Let’s get back to work.  Let’s show the world once again why America is the greatest nation on Earth.  

       God bless you.  And God bless the United States of America.  (Applause.)

END 3:12 P.M. EDT

Better late than never.

The inherent weakness in the greed and avarice of the super wealthy is that enough will never be enough.

“…One thing is certain, Madison is only the beginning…”

“…The rich have overplayed their hand…”

“…The only thing that’s broke is the moral compass of the rulers…”

“…And, and that is the thing that the rich hate the most about America. No matter how hard they try to buy the votes, no matter how hard they try to own the political process, when it comes down to it, it’s one person, one vote. And there’s a hell of a lot more of us then there are of them. And never forget that, never forget that…”

HB 61

Prohibits the state minimum wage from exceeding the federal minimum wage and specifies that every employer must pay each employee receiving gratuities as compensation a wage of $3.63 per hour

And the House passed it on March 3rd:

On motion of Representative Nolte, HCS HB 61 [pdf] was read the third time and passed by the following vote:

AYES: 092

Allen Asbury Bahr Barnes Bernskoetter Berry Brandom Brattin Brown 85 Brown 116 Burlison Cauthorn Cierpiot Conway 14 Cookson Cox Crawford Cross Curtman Davis Day Denison Dieckhaus Diehl Dugger Elmer Entlicher Faith Fisher Flanigan Fraker Franklin Franz Frederick Fuhr Funderburk Gatschenberger Gosen Grisamore Guernsey Haefner Hinson Hoskins Hough Houghton Johnson Jones 89 Keeney Kelley 126 Klippenstein Koenig Korman Lair Lant Largent Lasater Lauer Leach Loehner Long Marshall McNary Molendorp Nance Neth Nolte Parkinson Pollock Redmon Reiboldt Richardson Ruzicka Sater Schad Scharnhorst Schatz Schieber Schneider Schoeller Shumake Smith 150 Solon Stream Thomson Torpey Wallingford Wells White Wieland Wright Wyatt Mr Speaker

NOES: 060

Anders Atkins Aull Black Carlson Carter Casey Colona Conway 27 Curls Ellinger Fallert Fitzwater Hampton Harris Hodges Holsman Hummel Jones 63 Kander Kelly 24 Kirkton Kratky Lampe May McCaherty McDonald McGeoghegan McGhee McManus McNeil Meadows Montecillo Newman Nichols Oxford Pace Peters-Baker Phillips Pierson Quinn Rizzo Rowland Schieffer Schupp Shively Sifton Silvey Smith 71 Spreng Still Swearingen Swinger Talboy Taylor Walton Gray Webb Webber Weter Zerr

PRESENT: 000

ABSENT WITH LEAVE: 011

Brown 50 Higdon Hubbard Hughes Jones 117 Leara Lichtenegger McCann Beatty Nasheed Riddle Zimmerman

Speaker Tilley declared the bill passed.

Missouri workers shouldn’t make a living wage? But then again, if you make $250,000.00 a year that’s not a lot. And teachers are parasites…

March 04, 2011 05:00 PM

Crisis in the Dairyland – For Richer and Poorer

By scarce

….When will America’s teachers follow the lead of Wall Street and start making some sacrifices for the children?….

It all equals out, right?

The best prescient film review ever:

Ephemera 2009

…There are two novels that can change a bookish fourteen-year old’s life: The Lord of the Rings and Atlas Shrugged. One is a childish fantasy that often engenders a lifelong obsession with its unbelievable heroes, leading to an emotionally stunted, socially crippled adulthood, unable to deal with the real world. The other, of course, involves orcs…

Via TBogg at Firedoglake and Doug J at Balloon Juice.

Class warfare propaganda for the haves.

And to think, Leni Riefenstahl constantly complained about what she had to work with…  

Via Twitter:

@UKProgressive  DenisCampbell

Bumper sticker: “AT LEAST THE WAR ON THE MIDDLE CLASS IS GOING WELL..” 6 hours ago

That about sums it up.

Update:

Pinning the meter on maximum snark:

To the Sports Editor:

The bizarre behavior of Gil Meche, who gave up $12 million because he “felt bad” about taking money he had not earned, is a slap in the face to those toilers in the finance industry who courageously set aside their moral scruples and accept multimillion-dollar bonuses in the face of an economic crisis of their own making. It is to be hoped that Meche, in light of the example of those whose Ivy League degrees attest to a deeper understanding of this sort of moral and ethical quandary, will change his mind….

Awesome, freakin’ awesome.

Sales taxes are regressive.

regressive tax: Taxation that takes a larger percentage of a lower-income and a smaller percentage of a higher income. For example, a tax on the basic necessities (which form a larger percentage of the expenditure of the lower income population) is a regressive tax…

[emphasis added]

SJR 1 [pdf] would do away with the state income tax and institute a state sales tax. On damn near everything.

The good news, if this passes and becomes law? The extravagant mansions of the new gilded age will be built to last for generations. The bad news? There won’t be any peons around for those generations who could afford the measly price of admission to those museums of excess or have enough education to care.

Yep, this’ll surely redistribute the wealth. Upward:

FIRST REGULAR SESSION

SENATE JOINT RESOLUTION NO. 1

96TH GENERAL ASSEMBLY

INTRODUCED BY SENATOR RIDGEWAY.

Pre-filed December 1, 2010, and ordered printed.

TERRY L. SPIELER, Secretary.0215S.01I

JOINT RESOLUTION

Submitting to the qualified voters of Missouri, an amendment repealing section 4(d)of article X of the Constitution of Missouri, and adopting one new section in lieu thereof relating to the revenue-neutral replacement of all taxes on income with an amended sales and use tax.

Be it resolved by the Senate, the House of Representatives concurring therein:

That at the next general election to be held in the state of Missouri, on Tuesday next following the first Monday in November, 2012, or at a special election to be called by the governor for that purpose, there is hereby submitted to the qualified voters of this state, for adoption or rejection, the following amendment to article X of the Constitution of the state of Missouri: Section A. Section 4(d), article X, Constitution of Missouri, is repealed and one new section adopted in lieu thereof, to be known as section 4(d), to read as follows:

Section 4(d). 1. In enacting any law imposing a tax on or measured by income, the general assembly may define income by reference to provisions of the laws of the United States as they may be or become effective at any time or from time to time, whether retrospective or prospective in their operation. The general assembly shall in any such law set the rate or rates of such tax. The general assembly may in so defining income make exceptions, additions, or modifications to any provisions of the laws of the United States so referred to and for retrospective exceptions or modifications to those provisions which are retrospective….

…2. For all tax years beginning on or after January 1, 2013, no tax shall be imposed upon any income derived from any source within this state, and all revenues lost as a result of the prohibition on the taxation of income under this section shall be replaced by the levy and imposition of a tax upon the consumption or use in this state of taxable property or services. Taxable property or services shall mean any property (including leaseholds of any term or rents with respect to such property but excluding intangible personal property and used property) and any service consumed or used in this state, except for such property purchased to be a component part or ingredient of the new tangible personal property to be sold at retail. No tax shall be imposed under this section on any taxable property or service purchased for a business purpose in a trade or business, including agriculture, or purchased for an investment purpose and held exclusively for an investment purpose. For purposes of this section, the term “purchased for a business purpose in a trade or business” shall mean purchased by a person engaged in a trade or business and used in that trade or business for resale, to produce, provide, render, or sell taxable property or services, or in furtherance of other bona fide business purposes. For purposes of this section, the term “purchased for an investment purpose” shall mean property purchased exclusively for purposes of appreciation or the production of income, and tuition and fees paid to an accredited institution of higher education for educational services. All sales tax exemptions in place as of the effective date of this section exempting purchases other than the purchases enumerated in this article shall be void.

3. The rate of the tax levied and imposed under subsection 2 of this section shall be five and eleven one-hundredths percent. As may be recommended by the tax adjustment commission established by subsection 8 of this section, the general assembly may enact one rate adjustment, to be effective no later than the beginning of fiscal year 2014, after the imposition of such tax if the revenue lost as a result of the prohibition on the taxation of income is greater than or less than the revenue received from the tax imposed in th i s section. Notwithstanding the limitation on total state revenues as provided in article X, section 18 of this constitution, such adjustment shall be calculated to ensure that the amount of revenue received is substantially equal to the amount of revenue that would have been generated by the taxes repealed under this section averaged over the three immediately preceding fiscal years. Local political subdivisions shall recalculate their local tax rates, including local tax revenue to be deposited in the school district trust fund, affected by this section to produce the same or substantially similar revenue as collected in the immediately previous fiscal year. The general assembly may provide by law for determining the scope of taxable services and for otherwise implementing the provisions of this section. Exemptions from such tax may be provided by law upon an affirmative vote of at least two-thirds of the elected members of both chambers and approval by the governor.

4. Notwithstanding the provisions of sections 43(a) and 47(a) of article IV of this constitution, the rates of tax levied and imposed under those sections shall undergo a one-time recalculation, taking into account any adjustment in the tax base. This recalculation shall determine the new rates that would produce an amount of revenue for the fiscal year of recalculation substantially equal to the amount actually received in the year of recalculation under the prior rate described in those sections of the constitution. These new tax rates shall be recalculated in this same manner should the rate of tax levied under section 4(d) of article X of this constitution be readjusted.

5. The taxes that are replaced under this section are as follows: (1) Withholding taxes and individual and corporate income taxes; (2) Corporation franchise and bank franchise taxes; (3) All existing state sales and use taxes; (4) All local earnings taxes authorized by state law.

6. The department of revenue shall determine a method for providing a sales tax rebate for each duly registered qualified household of this state. The sales tax rebate shall be distributed to each qualified household beginning January 1, 2013. The monthly amount of the rebate shall be equal to the product of the rate of sales tax established under this section and one-twelfth of the annual poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under the authority of 42 U.S.C. Section 9902(2), as amended.

7. The department of revenue shall promulgate rules as otherwise provided by law to implement the provisions of this section.

8. There is hereby created a “Tax Adjustment Commission”, whose members shall be the governor, or his or her designee, the chair of the house budget committee, and the chair of the senate appropriations committee. The purpose of the tax adjustment commission shall be to recommend a one-time adjustment to the
rate of tax established in subsection 3 of this section. The commission shall meet prior to January 1, 2014, to conduct studies of a tax rate adjustment which would provide an amount substantially equal to the amount of revenue that would have been generated by the taxes repealed under this section in fiscal year 2012. The tax rate adjustment shall only be recommended to the general assembly upon unanimous vote of the commission. If the general assembly is not in regular or special session at the time the commission’s recommendation is received, the general assembly shall automatically convene in special session within fourteen days of receipt of the recommendation. A concurrent resolution, not subject to substantive amendment in either chamber, shall be introduced in the house of representatives for approval or rejection. If approved, the concurrent resolution shall be considered by the senate for approval or rejection. If approved by both chambers, the concurrent resolution shall be presented to the governor, and, within fourteen days of such presentment, the governor shall return the concurrent resolution to the house of representatives endorsed with his or her approval or accompanied by his or her objections. If the concurrent resolution is approved by the governor, the tax rate adjustment shall become effective at the beginning of the following calendar quarter. If the concurrent resolution is not approved by the governor, the general assembly shall automatically convene in special session within fourteen days of such disapproval to reconsider the resolution as otherwise provided in section 32 of article III of this constitution. If the concurrent resolution is approved by a two-third majority in each chamber, the tax rate adjustment shall become effective at the beginning of the following calendar quarter.

9. The revisor of statutes, in conjunction with the department of revenue, the state tax commission, and other tax-related agencies and departments, shall prepare and submit to the committee on legislative research a proposed bill repealing those provisions of law which are deemed unenforceable or unnecessary under the provisions of this section.

10. The provisions of this section are severable. If any provision of this section is found by a court of competent jurisdiction to be unconstitutional, the remaining provisions are valid except to the extent that the court finds that the valid provisions, standing alone, are incomplete and are incapable of being executed in accordance with the will of the people.

Section B. Pursuant to chapter 116, RSMo, and other applicable constitutional provisions and laws of this state allowing the general assembly to adopt ballot language for the submission of a joint resolution to the voters of this state, the official ballot title of the amendment proposed in section A of this act shall read as follows:

“Shall the Constitution of the State of Missouri be amended to eliminate individual and corporate income tax, and state sales and use tax and to enact a single, revenue-neutral sales tax on new purchases of goods and services, and to exempt property purchased for business or investment from the sales tax?”

[emphasis in original]

As usual, the devil is in the details:

“…Taxable property or services shall mean any property (including leaseholds of any term or rents with respect to such property but excluding intangible personal property and used property) and any service consumed or used in this state…”

Uh, you know, people with lower incomes tend to rent. They’ll have to pay taxes on their rent under this bill.

But:

“…No tax shall be imposed under this section on any taxable property or service purchased for a business purpose in a trade or business, including agriculture, or purchased for an investment purpose and held exclusively for an investment purpose…”

Landlords who rent said properties will not pay the sales tax when they purchase the property.

Redistribute the wealth upward, anyone?

There’s this gem, repealing the earnings taxes in Kansas City and St. Louis:

“…5. The taxes that are replaced under this section are as follows: (1) Withholding taxes and individual and corporate income taxes; (2) Corporation franchise and bank franchise taxes; (3) All existing state sales and use taxes; (4) All local earnings taxes authorized by state law. …”

The bill sets the starting state sales tax rate at 5.11%. Adding in local taxes can bring it to over 7%. There is a one time provision to raise the tax to be revenue neutral. No sane analyst has come in under 10% to achieve that goal.

If this comes to pass invest in pitchfork and torch stocks. Buy heavily into popcorn futures. Then sit back on your couch, pass the popcorn and wait for the first average Joe to get an additional 15% tacked on for:

….And those taxes would be applied not just to goods, as most current sales taxes are, but to nearly everything you buy, including auto repair, haircuts, prescription drugs, housing rents, utilities and child care. Some proposals also would tax doctor’s visits and prescription drugs….

…Here’s the bottom line: 15 percent. On darn near everything. For a pipe dream.

[emphasis added]

(from Twitter, hat tip to our good friends at Fired Up!)

Pitchforks and torches. That’s an investment opportunity you’re not gonna want to pass up.