Friday, July 21, 2006

Correction on the Secret Connecticut Gross Earnings Tax

Now everything makes sense to me. I need top correct my last blog regarding Connecticut's Secret Gross Earnings tax levied on all fuel in the state. It is now 6.724% not 5.8% as I thought it was. I got conflicting information regarding it. Also two more secret taxes that are now charged include a Lust Tax (Leaky Underground Storage Tank) which is .001 per gallon and a Federal Spill Fee Record tax of .0012. The reality of this tax in addition to the State tax of .25 cent per gallon and a Federal tax of .184 cents per gallon and bingo you have one of the highest tax rates in the country! The Secret Gross Earnings tax adds from .17 to .21 cents per gallon more in costs. I guess our clueless State Legislature did not think the oil companies were going to pass on this tax to the consumers. Guess again. Now I see that the Legislature may go back into special (and maybe secret) session to come up with answers to Connecticut's energy problems. I do not see why they should as they have yet been able to come up with anything since 1973 except to raise taxes. Here is the solution-get off our dependency of foreign oil and use less. The State I am sure wastes energy everywhere, from State employees in State vehicles going faster than 65 miles per hour, lights on everywhere in State Buildings, and the list goes on and on. Let us face up to it, there is no thought for either taxpayers in our state nor for energy consumers. And now State taxpayers will foot the bill for this useless special session.

Monday, July 10, 2006

Again higher gas prices, again higher gas prices, again...

Again higher gas prices-I just read a nationwide survey that we have the third highest average prices for gasoline in the country. We are only behind Hawaii and California. $3.19 is the average although I know of a few stations that I can buy cheap gas at $3.09.9. I always hear the stories of supply and demand as a long time instructor of Business and Economics classes I have difficulty with some of the same arguments that I hear over and over again. Connecticut has one of the highest gas taxes in the country and I do believe that the long run implications of this high tax is both a state recession and people once again leaving in droves from our state. Our elected officials passed a secret increase in the gross earnings tax up now to 5.8% (and please do not let anyone kid you, motorists pay for this tax-making an average of .54 cents a gallon with federal taxes thrown in).
I know that you and I have an unlimited amount of income to pay for higher energy costs and higher taxes here in our state. We receive constant cost of living increases in our pays to offset these higher costs. Wait you don't believe me? Again higher gas prices...Again higher gas prices...Again higher gas infinity.