Senator Alves’ Latest Corporate Tax Proposal

Senator Stephen Alves (D – West Warwick) has proposed a graduated tax on gross corporate revenue.
Moving swiftly (because, obviously, Senator Alves did also) past Rhode Island’s already repellent corporate tax climate and the fact that the budget crisis will not be solved by raising taxes of any sort, by the senator’s own numbers, a full 17% of corporations in Rhode Island which do not presently make a profit in this higher bracket would get entangled in his net.
A couple of months ago, when he proposed, to a chorus of bronx cheers, that the minimal corporate tax be doubled, the senator stated that 94% of corporations in Rhode Island pay “only” the minimum – $500 – corporate tax. What this means is that 94% of Rhode Island corporations either do not make a profit at all or only make a profit that equates to a maximum of $500 in corporate taxes – $5,555.
Yet the senator stated that under his proposed new tax structure, 77% of Rhode Island corporations would continue to pay “only” the $500; the rest would pay more. We established that presently, 6% of Rhode Island corporations make a profit above the $500 tax mark. 94 – 77 = 17. Therefore, 17% of Rhode Island corporations would be bumped into a higher tax bracket, not because they made any more money but simply because Senator Alves wants more money from them.
The Senator indicated on the Dan Yorke Show today that one of the reasons he is proposing this revision is because some corporations are cheating (my word) on their taxes. If this is so, the solution is audits and an enforcement of existing law. It is not to commit the legislative equivalent of hiring a plane to sky-write:

Attention, domestic and out of state corporations. Our tax structure used to be really bad. Now it’s really REALLY bad. (You still want to be here, though, right?)

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Citizen Critic
Citizen Critic
16 years ago

RI has been a bad place to do business for a long time. These days, RI is not a good place to live either. I came to these conclusions a while ago.
For these bleak times, you can thank Alves, Levesque, Miller, Moura, Perry, Pichardo, and all Dem’ other tax and spenders in the State House.
If you want to stay current on Alves, there are some great articles on this following website:
http://AlvesSucks.com
It is a real website. Check it out!
I guarantee you, if you had any doubts about Alves in the past, after reading the above website.. you won’t have any further doubts.

Mike
Mike
16 years ago

We need a Jerzyksucks.com site too.

Citizen Critic
Citizen Critic
16 years ago

Yes, Matt often seems to put the “jerk” in Jerzyk, but that’s just my opinion.
When you read the drivel at RI Future, and you consider the massive traffic it gets, and you consider the apparent political credibility is has with many in the state, it is no wonder that Rhode Island is such a political and economic disaster. In my view, RI Future is valuable as a representative snapshot of the nitwits who inhabit the area. It’s proof that all the reason in the world may not ever change things.
However, Matt has the right to his leftist beliefs, as bizarre and as twisted as they may be. He has the right to dislike and blame Republicans for the current mess that Rhode Island faces, even though any rational person can easily figure out that it ain’t the Republicans who raped, plundered, and pillaged Rhode Island.
However, I don’t support the idea of single purpose attack websites which are critical of private individuals, as sick and as twisted as those individuals may be.
However, I very much DO support, and indeed I have authored, websites which are critical of corrupt and inept public officials. Such criticism of elected officials is not only helpful and appropriate, but shows citizens participating in their government, which is a form of diligence and good citizenship.
The problem in RI is not that public officials get too much criticism, the real problem is there is not enough, there is way too much citizen apathy. That is the root of the problem.

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