Could Bobby Jindal’s Tax Swap Plan Have Been a Distraction All Along?

by Courtney C Horne @FireezDragon

Bobby Jindal’s tax plan to swap state income and corporate taxes for a higher and expanded sales tax is dead.

So dead that even he acknowledges it. Of course, moments after he acknowledges the death of his plan, he gets into bed with a different plan.

The new option for Jindal? Any one of the several bills in the Louisiana Legislature this session which would kill the state income tax without replacing the revenue at all. These bills are dangerous because the cuts cost by the revenue loss could be drastic and damaging.

They also don’t look nearly as worrisome as they should look because they are coming on the heels of the Jindal plan.

Which makes me stop and think.. Did he even want his “revenue neutral” (numerous sources doubted that his plan could really be neutral) tax swap to pass?

Or was he angling to make these bills with their huge revenue losses look better by comparison?

Opposition to the tax swap was coming from all sides. Catholic Bishops. Business Groups. Progressive Activists.

In fact, the tax swap plan seemed to be tailor made to have something for everyone to hate. The poor would likely pay more taxes under the plan. Businesses would have to start taxing additional services.  An unclear rebate system and the loss of the income tax credit reward could have lost the local entertainment industry success.

After that hate fest, any other plan will have trouble generating as much concern or attention.

So maybe if one of the income tax elimination bills passes Jindal will have gotten what he wanted all along. I have no way of knowing for sure (and maybe I am watching too much of the plotting heavy House of Cards) but stranger things have happened.