A NEW TAX IN TENNESSEE

Activity has accelerated with legislative candidates qualified, fundraising underway and grassroots organization in full tilt. In the midst of the whirl of activity, the Democrats continue to have their camouflage paint rub off.

In recent days, Democrats are claiming to be “pro-life, pro-gun, fiscally conservative.” Let’s see how “fiscally conservative” Tennessee’s Democrat Governor Phil Bredesen is dealing with a revenue “short-fall” of almost half a Billion dollars. He references his plan to deal with the short fall as “tossing some baggage overboard here to keep the ship afloat.” But the “baggage” he notes is not the fat spending on the elite entertainment addition to the Governor’s Mansion, but cuts in services to average Tennesseans and a reduction in the pay raise to teachers and state employees.

Now, the “fiscally conservative” leader of the Tennessee Democrats is looking to add a new tax. According to press accounts, the “Digital Products/iPOD Tax” is being proposed by the Bredesen administration’s Department of Revenue as “technical corrections” that are submitted annually to the General Assembly.

According to a summary of the legislation provided by Nashville’s Waller Lansden law firm, which is monitoring the legislation for its impact on the business community, “The Bill contains sweeping legislation that would subject downloaded sales of digital media, including music videos, motion pictures, news and entertainment programs, music, ringtones, electronic books, etc. to the retail sales tax. Under current law digitally delivered goods are not taxable unless delivered in a tangible form.”

Voters should make their voices heard by contacting the Governor’s Office by calling 615.741.2001; sending a fax to 615.532.9711 or emailing phil.bredesen@state.tn.us.

UPDATE: April 25, 2008

The Bredesen administration’s effort to reach further into your pocket by levying new taxes on digital products you purchase online is already under way. The administration began levying a sales tax on digital music downloads - songs for your iPod or Mp3 music player - on January 1, 2008.

But that may be only the beginning. Soon, Tennesseans may be required to pay new taxes on all sorts of digitally deliver products that are currently not taxed. According to an analysis by business tax law experts of draft legislation being prepared by Bredesen’s Revenue Department, the administration is looking at extending sales taxes to a long list of digitally-delivered products, a category which conceivably include everything from subscriptions to online publications to software purchased online and delivered via downloading.

“While the administration already has levied news taxes on songs for your iPod, there are many other digital media products that aren’t yet taxed in Tennessee, but it appears Gov. Bredesen wants to change that,” said Bill Hobbs communications director for the Tennessee Republican Party. “Tennessee doesn’t tax you when you buy a newspaper, but soon you may be taxed if you purchase a news article online.”

Democrat Gov. Phil Bredesen’s administration is looking to increase the taxes on average Tennesseans while making cuts to teachers’ pay raises and, despite a $500 million revenue deficit, insisting on building his underground entertainment hall for the state’s monied elites, a project that increased the cost to taxpayers for the renovation of the governor’s mansion by more than $8 million.

MCCAIN’S MARCH TO THE WHITE HOUSE

“…you are my compatriots”

John McCain continued his Time for Action tour this week by visiting areas of the country that have been “forgotten” by spending time in Inez, Kentucky. In his remarks, Senator McCain acknowledged the economic difficulties experienced in this Appalachian community but stated: “You’ve never wanted government to make your living for you. You just expect us to show a decent concern for your hard work and initiative; and do what we can to help make sure you have opportunities to prosper from your labor. We all have choices to make in our lives, and you don’t expect government to make yours for you. But you have a right to expect that the people you elect to office will help and not hinder your efforts to make a better future for your community and families.”

In stark contrast to the entitlement mentality of the Democrat candidates for president, John McCain made clear that the solution to poverty is not solely the government. John McCain spoke of his “People Connect Program” that would “provide tax breaks to private companies and federal loans and low-interest bonds to small towns to help provide high-speed Internet service to isolated communities like Inez — a way to knit together all of the United States with 21st-century information networks” that “will make location less of a factor in the potential for economic success.”

TAKING THE HILL

DAN FORD

Dan Ford, a native of Cocke County was born to Ida and Cebo Ford, a teacher and farmer in the Grassy Fork community of Hartford, TN. There he learned the importance of family, faith, education, and hard work and there began his enjoyment of coon hunting, fly fishing, and bird hunting. Dan and Pat, his wife, live on their farm in Cosby near their family and raising their horses. The Fords are active in the community through their church, Newport Grace Baptist, and other groups like the Newport Kiwanis Club and the local Right to Life Chapter. Dan is also a member of the National Rifle Association of America.

A successful salesman and entrepreneur, Dan is CEO of two companies located in Cocke County that employ approximately 50 people, adding to the economic vitality of the 11th House District. Ford’s companies reduce landfill waste by recycling material from scrap tires and unusable material from tire manufacturers to create marketable products. As a member of the Local Workforce Investment Board, Dan Ford works with Walters State Community College to prepare workers for the work place.

Visit Dan’s website, www.danford08.com, to get to know him and read more on his platform: “I support the ‘Education First’ initiative. “Education First” requires the legislature to fund the education budget before any other item in the state budget is considered. I support a law requiring proof of U.S. citizenship before one can receive taxpayer-funded benefits and social services. I’ll work to control spending. I will oppose pork barrel projects and programs that have outlived their usefulness.”

SAME COIN, JUST DIFFERENT SIDES

Barack Obama and Hillary Clinton continue to battle to become the Democrat nominee for president but the battle is not over differences in issues, only in the total vote count.

These two liberal/progressive/tax-and-spend Democrats have the same idea on solving our economic downturn: Increase your taxes!

Just like Democrat Governor Phil Bredesen who is looking to propose a new tax in Tennessee, these two have been clear in the recent debate and in their campaign speeches that their policy on stimulating the economy is to redistribute wealth from those who work and earn to those who don’t.

In their “progressive” lingo, democrats continue to proclaim that they will “tax the rich” while providing “relief to the middle class.” Yet, the facts are that under the proposals of both Clinton and Obama, “25.8 million small businesses, many of them family-run operations, that create about 75 percent of the jobs, according to the Small Business Administration,” will be hit the hardest by the tax increases. Glenn Hubbard, dean of Columbia University’s Graduate School of Business, “Raising capital (gains) taxes is bad at any time — and particularly in a weak economy. The only argument for such a tax increase — since that argument can be neither economic efficiency nor efficient revenue collection — would be a policy of (income) redistribution.”

TALK IS CHEAP…GASOLINE ISN’T

In November of 2006, Democrats gained majority status in both the U.S. House of Representatives and the U.S. Senate. One of the promises made in the campaigns that led to those leadership positions was to “reduce the cost of oil and gasoline.”

According to an article in The Hill, current Speaker of the House, Nancy Pelosi stated in a press release dated April 24, 2006: “Democrats have a commonsense plan to help bring down skyrocketing gas prices by cracking down on price gouging, rolling back the billions of dollars in taxpayer subsidies, tax breaks and royalty relief given to big oil and gas companies, and increasing production of alternative fuels.”

Ample time has passed for the “leaders” of the Congress to provide their plan, yet the costs to fill our vehicles continue to balloon - the price of gasoline has spiked $1.18 since Democrats took over in January and stands at $3.51.

Democrats in office = increased taxes and increased costs to citizens.