We get what we pay for

By Patrick Johnston
Published: July 08, 2008

» 0 Comments | Post a Comment

Many Alabamians grumble about the amount of taxes they pay.
However, one recent report from the U.S. Census Bureau shows Alabamians pay less in taxes in than residents of Mississippi, Georgia, Florida – or any other state.
State and local tax collections per person are once again lower in Alabama than any other state, according to Fiscal Year 2006 figures from the Census Bureau.
Alabama’s state, county and city governments collected $2,782 in taxes per person, The Birmingham News stated in its Sunday edition. A family of four would average paying $11,000 per year in taxes.
That may sound like a lot of money, but it could be higher. A family of four in Florida would pay $14,500 per year. In Georgia, that amount would top $13,000 per year.
“Alabama’s state and local governments collected $12.8 billion in taxes in fiscal 2006, which for most state governments ended June 30, 2006, and for Alabama ended Sept. 30, 2006,” The News stated. “They collected $918 less in taxes per person than the median. If they had collected the median amount, they would have had an additional $4.2 billion.”
You won’t hear too many Alabamians complain about ranking last in this category. We like political candidates who promise to lower our taxes. Just listen to the rhetoric leading to November.
But there is a trade-off. That $4.2 billion could be used for better roads, improved school facilities, senior citizen programs, public transit – the list continues.
Take Barbour County for example. County residents continue to complain about dirt roads, the lack of county-wide animal control and seemingly limited investments in economic development.
The above-mentioned items could occur in Barbour County with additional tax revenue.
Unfortunately, our county and state have made it a habit to rely too heavily on sales-tax revenues while giving large land-owners a virtual free pass on their property. That is why our schools are threatened with proration in the next few years.
We Alabamians should be grateful that we pay low taxes. However, we should also remember that we get what we pay for.