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Paying More Taxes for More Incompetence

May 16, 2003

The governor is planning to raise the sales tax again (May 14). It's hard enough, as a small-business owner, dealing with all the bookkeeping involved. I also have to pay the state thousands of dollars in sales tax money well in advance, before I collect it from my customers, because the state uses the accrual method to collect sales tax. (It may take several months for me to collect on invoices.) I also have to deal with the complex sales and use tax laws from the state.

Now they are planning to raise the sales taxes again -- more work for business owners -- and I will be handing more of my interest-free money over to the state. For all this work business owners do for this wonderful state, the thanks we get is that when a periodic audit is done and a mistake is found, not only do you pay the sales tax due but you pay a penalty and interest on that. I find this very unfair.

Terry Moll

Tustin

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To help balance the budget, all state employees, from Gov. Gray Davis on down, should take a salary cut. This is what is done in the real world when financial disaster looms, since private businesses cannot recoup their mismanagement results by raising taxes and fees and letting other people pay for their incompetence. This method should be tried by L.A. County and the city -- and for the same reasons.

David M. Callahan

Los Angeles

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