Sales Tax Increase

One unfortunate aspect of a sales tax increase is that most sales taxes are not deductible for income tax purposes. On the other hand, most state income tax and almost all property tax are deductible for federal income tax purposes. Therefore, a $100 increase in property tax or state income tax would cost most citizens only $85 or less, while $100 of additional sales taxes will cost a full $100.

California’s increasing reliance on sales tax has the effect of a massive transfer of funds from Californians to the national government in Washington, only a small percentage of which comes back to benefit California. Ironically, the biggest beneficiary of Proposition 13 is the central government.

NORMAN H. GREEN, Glendale