Governor\’s Tax Package Would Burden Nevadans

WASHINGTON – Americans for Tax Reform (ATR) strongly opposes Nevada Governor Kenny Guinn\’s tax increase package. Gov. Guinn\’s tax increase package would cause the tax burden in Nevada to increase by over $1 billion in the 2003 – 2005 budget biennium alone.

Guinn\’s tax increase package would:
· Impose a 7.3% tax on amusement parks beginning July 1, 2003
· Impose a 15-cent per $100 assessed value property tax increase
· Triple the per-pack cigarette tax – an increase of 70 cents per pack
· Double beer and distilled spirits taxes – distilled spirits taxes would increase 89%
· Hike the business activity tax from $100 per employee to $300
· Initiate a 0.25% gross receipts tax on business income > $450,000

"Some members of the legislature would pass certain parts of this tax increase package first, and wait to pass other parts later," commented Grover Norquist, President of ATR. "But every aspect of this tax increase package is more burdensome to Nevadans than what they currently shoulder. Taxpayers in Nevada worked until July 1, 2002 to afford the cost of government, according to ATR\’s Cost of Government report (www.atr.org). And the Cato Institute reports that spending increased 13% over the last decade.

"The two-thirds supermajority requirement in Nevada provides legislators with the opportunity to demonstrate both leadership and solidarity in opposition to their Governor\’s tax increase package.

"Spending cuts, rather than tax increases, will resolve Nevada\’s budget shortfall," concluded Norquist.

The following legislators have signed the Taxpayer Protection Pledge sponsored by ATR. By signing the Pledge, lawmakers promise "to oppose and vote against any and all efforts to increase taxes."

1. David Goldwater (H-10)
2. Sharron Angle (H-26)
3. Don Gustavson (H-30)
4. John Carpenter (H-33)
5. J. Harry Mortenson (H-42)