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"Forbes: Sales Taxes Now Top Property Taxes and Personal Income Taxes as State Revenue Source" (posted at the TaxProf Blog - Paul L. Caron, Editor):

http://taxprof.typepad.com/taxprof_blog/2010/03/
forbes-sales-taxes.html

"Forbes, U.S. Sales Tax Rates Hit Record High:

While President Obama's push to raise federal income taxes for the wealthy gets lots of attention, the continuing upward creep in the sales tax rates imposed by state and local governments has gotten less notice.

But Vertex Inc., which calculates sales tax for Internet sellers, reports that the average general sales tax rate nationwide reached 8.629% at the end of 2009, the highest since the Berwyn, Pa., company started tracking data in 1982. ...

The country's highest rate now is 12%, in the tiny portion of tiny Arab, Ala., (population 7,500) sticking into Cullman County. The rest of the northern Alabama town, in no-sales-tax Marshall County, pays just 8%.

Right now Chicago has the highest big-city rate, 10.25%. But in a move forced by Cook County lawmakers, the rate is scheduled to drop on July 1 to 9.75%, matching that of Los Angeles. In New York City the total bite is 8.875%. Other high big-city rates include San Francisco and Seattle(9.5%), New Orleans (9%), Houston, Dallas and Charlotte (8.25%), Las Vegas (8.1%) and Philadelphia and Atlanta (8%).

Nationally, sales taxes in 2008 generated more revenue for state and local governments -- about $450 billion, a recent Government Accountability Office report suggests -- than did either property taxes ($411 billion) or personal income taxes ($310 billion)."

This is a prime example of how Uncle Sam's incurable habit of deficit spending creates a "domino-effect" of financial pressure that cascades down on the shoulders of everyone - no matter how much money they have or don't have.

One way or the other, taxing authorities MUST collect more money. You are kidding yourself if you think taxes are going to go down.

- Ed Smith, Publisher
The EHS Letter Manual