Imagine Paying Taxes for Your Hair Cut

May 2, 2008 12:00:00 AM PDT
That could happen, as Governor Arnold Schwarzenegger looks at new ways to balance California's budget.Golfers chasing that elusive birdie might have to cut back on lessons, if that makes the list of services to be taxed.

Jeff Baldo, Golfer, says "Golf lessons are always a 'want.' Some of us consider it a 'need'. I would say if it's a 'want', it would have to take a back seat."

And women seeking that perfect coif might cut back on salon visits. Jennifer Butler, Hair Stylist, says "Whose wallet really wants to pay taxes? Nobody likes to pay taxes."

A sales tax on car repairs, health club memberships, landscaping, accounting work and lawyer fees is gaining traction at the State Capitol.

In fact, sources outside the Schwarzenegger administration say the Governor's aides are feeling out the business community behind closed doors, asking members what kind of taxes they would resist the least. The Governor's Office denies it's laying the groundwork for raising taxes.

Aaron McLear, Governor's Press Secretary, says "He's open to people coming and talking about all their ideas. He's open to having a debate about raising taxes? and explain to them why he thinks it's the wrong way to go. But the Governor is not having meetings about the eventuality of raising taxes."

The usually anti-tax business community might be swayed if there were long-term fixes to the budget crisis. Some say if the Governor got the business community behind him on raising taxes, Republicans would go along, but not even that would change their minds.

Assm. Roger Niello, (R) Sacramento, says "When it comes to tax policy, the worst thing the government can do is increase taxes in the face of a declining economy."

To avoid severe cuts to education, polls show more Californians are coming around to the idea of raising taxes to lessen the blow.

Merrill Domondon, Tax Hike Supporter, says "We live here in California. We reap the benefits of everything that comes from our government. So, sometimes we have to help them out too."

Many other states already have tax services so it's not an unusual idea. But keep in mind California already ranks 4th in the country for tax burdens per household.


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