A tax reform plan by PRI authors Art Laffer and Wayne Winegarden is the subject of a new research brief by Forward Observer, a prominent research and strategy firm with offices in California and Washington, DC.
The research brief compares the tax reform proposal, including a flat tax, outlined in PRI’s 2012 book Eureka! How to Fix California with two other recent proposals: the Parsky Commission, appointed by Governor Arnold Schwarzenegger in 2009, and The Upward Mobility Act by Senator Bob Hertzberg, a bill currently in the state legislature..
The Forward Observer research brief focuses on 18 specific tax issues that are mentioned in one or more of these plans. The reform proposed by PRI authors Laffer and Winegarden covered 13 of these 18 issues; the Parsky commission covered 14 and SB 8 touches on only 6.
Forward Observer includes a 2010 campaign promise from Governor Jerry Brown, who said, “Recently the Parsky Commission took on the difficult task of reviewing California’s complicated tax structure and made recommendations for significant change… I would try again by establishing a similar commission that could build on the hard work already completed.”
Forward Observer also notes State Controller Betty Yee recently appointed a new panel, The Controller’s Council of Economic Advisors, to evaluate the merits of various tax reform proposals.
“California’s current tax code is overly burdensome and unpredictable. It is clear that it needs serious reform,” said Sally Pipes, President and CEO of the Pacific Research Institute. “Unfortunately, while Pacific Research Institute’s scholars have been providing real suggestions for how to improve the tax code for years, lawmakers are currently only concerned with how to raise taxes on Californians, through proposals like SB 8. The tax code needs real reform that unburdens taxpayers instead of increasing the heavy burden they already pay,” said Pipes.
To learn more and download the Forward Observer research brief, click here.