"Lowering the amount means less Federal tax. Paying a sales tax or state income tax has a lessor effect on a reduction in Federal tax, if it has any effect at all.[/quote]"
Bingo!......This is the part that most folks don't understand.....Our Governor wants an income tax based on a percentage of Federal Income Tax.....so I pay $300 of my $1K PFD to the Feds as income tax and then the Governor wants a State income tax based on a percentage of the federal tax.....we are really diluting this PFD check and sending our money to Washington DC......WTF?......at least, reducing the PFD tends to keep more of that $$$$ in state.
But I still don't see the budget cuts or hiring freeze.
