September 20, 2016 1:00 AM
Change regarding change is just not adding up
I am a loose pocket change collector. For many years I have taken my jars of loose change to my bank to have it counted. They have always counted my coins as courtesy to their costumers.
I have found out that banks have stopped counting my coins as a courtesy and at the same time local stores have installed their own coin counters. The only problem is these machines charge 11.9 percent of the total amount of change to be counted.
It seems somewhat strange that the banks stopped counting loose change in the same time period that these coin-counting ripoff machines were put into operation. Something doesn’t add up.
Tax elimination offers opportunities for growth
I would like to encourage City Council to pass the gradual elimination of the personal property tax on business. This visionary initiative would greatly enhance Fort Wayne as a highly desirable place to locate a business.
First, we need to clear up a misunderstanding that the entire $51 million in revenue will be lost immediately. The tax is only eliminated on new equipment. In the absolute worst case scenario, if no new business came to Fort Wayne as a result of this attractive incentive, the first effects would not be felt until May 2018 when our governmental units would receive about 5 percent less or $48.3 million; hardly a draconian hit. The schools would only see a $530,000 decrease. That’s 0.18 percent of their budget. (These numbers are based on the county assessor’s estimates.)
If you have any faith in the free enterprise system, the more likely scenario is that new businesses locating in our community will create more overall tax revenue.
Now let’s look at some of the positive aspects:
1. Fort Wayne would suddenly have a competitive advantage in attracting businesses seeking a superior business climate in Indiana.
2. More new businesses create more jobs.
3. More new businesses create more real property taxes, which offsets the gradual decline in onerous personal property taxes.
4. Michigan and Ohio, which have no personal property tax on new equipment, would no longer have an advantage over Allen County.
5. This would eliminate the unfair treatment favoring new businesses that receive tax abatement over established businesses that do not get the same tax break. We don’t pick winners and losers; we all become winners.
6. If adjacent counties with which we now cooperate are concerned that we have a competitive advantage attracting business with lower taxes, they are welcome to do the same and make northern Indiana an even more dynamic business climate.
7. The taxing organizations – schools, libraries and other units of government that take in tax revenue – must realize the taxing “pie” is not static. As the business community grows, so does the pie. New businesses will pay more taxes than the old businesses that have less fair market value.
The personal property tax was eliminated a long time ago for residential taxes because everybody hated it so much. We need to do the same for our business neighbors.
This bill could be a huge plus for Fort Wayne and Allen County and I urge City Council to embrace this opportunity.
John F. Popp
Letter writer speaks truth about state of USA
I would like to thank Jim Johnson who wrote in the Sept. 6 paper about Donald Trump (”Trump’s wall merely adds another level of security”).
It was the best letter I ever read. It was the most truthful letter I have ever read.
I wish everyone could have read what he wrote.
He doesn’t talk about Trump, only the truth about our U.S.A. and what is happening to our great country.