Latest News, Local News, International News, US Politics, Economy

Colorado’s Zombie Tax Increase Comes Back to Life

In a recent turn of events, Colorado’s political landscape is witnessing a disconnect between voter sentiment and legislative action. 

Despite the clear rejection of Proposition HH by a 60% to 40% margin on Election Day, the state House, led by Governor Jared Polis and the Democratic majority, is pushing forward with legislation that seems to contradict the will of the people.

Legislative Maneuvers and the Challenge to Voter Sovereignty

Proposition HH aimed to alter state law, allowing for increased taxation and spending. However, in the aftermath of its failure, the Legislature has swiftly enacted several bills during a special session, effectively overriding the voters’ decision.

One of these legislative maneuvers involves capping the taxpayer refunds set to be distributed next year. Colorado’s Taxpayer Bill of Rights (TABOR) mandates that any surplus should be returned to the people. 

With an expected excess of $3.3 billion at the end of the fiscal year, the new law will equalize next year’s refunds at around $847 per taxpayer. This move disproportionately affects higher earners, reducing their refunds by approximately $1,000 each.

Another controversial change involves the expansion of Colorado’s earned-income tax credit (EITC). While EITC is commonly used to supplement the income of lower-wage workers, Colorado’s expansion will fund it by reducing TABOR refunds for all taxpayers.

Read more: Alabama Tax Rebate: Update Your Address By Nov 29 To Get Paper Check

Colorado’s Taxing Dilemma

In a recent turn of events, Colorado’s political landscape is witnessing a disconnect between voter sentiment and legislative action.

The state plans to match 50% of the federal EITC in future tax years, potentially leading to smaller TABOR payouts and raising concerns about the potential for increased fraud associated with EITC claims.

Lawmakers have coupled these changes with a property tax cut, framing it as an offset to the reduced refunds. However, critics argue that the savings are modest, with property taxes expected to rise for nearly every Coloradan next year. The estimated savings for the median homeowner are around $300, according to legislators.

This property tax cut echoes the one proposed in Proposition HH, which aimed to entice voters by promising tax relief. Despite concerns about rising property taxes, the version passed during the special session excludes nonresidential properties, which have also seen significant value increases in recent years.

Surprisingly, Democratic lawmakers have been candid about their legislative maneuvers, with one acknowledging that the bills could be seen as a repackaging of Proposition HH. This candid admission underscores the complex interplay between public sentiment and political maneuvering.

While Coloradans are unable to vote down these laws directly, they will have an opportunity to voice their discontent at the ballot box in less than a year. The upcoming elections will provide a chance for voters to hold accountable the lawmakers who pushed through these contentious changes, reinforcing the fundamental principle of democratic governance.

Read more: Body Of Missing Man Recovered In Vent At Michigan Community College

Leave A Reply

Your email address will not be published.