Schram: Let's get real about state income tax

Let’s talk state income tax.

Being a longtime advocate for a state income tax, I know I’m pretty much swimming upstream on this issue.

But the way I figure it, if lawmakers were to restructure our overall tax system, an income tax is the best and most fair way to pay for state programs and services.

Well, now we have Senate Democrats floating the idea of imposing a 1 percent income tax on people earning over $500,000 a year, or $1 million for a married couple.

I don't think anyone expects this bill to go anywhere.

I think it's meant to get people gnawing on the idea of a state income tax.

When the Legislature actually gets serious about this - and I believe that at some point it will be compelled to get serious - here's how I think it should go:

• Eliminate the state's portion of the sales tax.

• Property taxes on your primary home are frozen until you sell that home.

• Eliminate the B&O tax, replacing it with a corporate income tax.

• Structure the state income tax - which if you itemize can then be deducted from your federal tax bill - with a flat rate.

And all of the above can only be changed with a supermajority vote of the Legislature.

If we're talking state income tax, I think that's how the conversation should go.

What do you think?

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