Campaign of lies
Title: “The Truth”
Sponsor: Vote Yes on C & D
Type: Television ad
The message: Opponents of Referendum C are lying about whether the ballot measure will raise tax rates and about how much money the state would keep if it passes.
Facts: Referendum C does not increase tax rates.
The state’s individual income tax rate is and will remain 4.63 percent if voters approve Referendum C on Nov. 1.
Beginning in 2011, Referendum C would lower income tax rates to 4.5 percent when the economy is strong.
Referendum C does allow the state to keep more taxpayer money.
That’s because the ballot measure suspends the spending limits imposed by the Taxpayer’s Bill of Rights (TABOR), which was added to the state constitution in 1992.
Based on current estimates, the state would keep and spend an extra $3.7 billion over five years if Referendum C passes. The amount of money that most taxpayers would give up if Referendum C passes is $491, according to the nonpartisan Legislative Council.
Opponents of Referendum C, however, calculate that the average family of four would give up $3,200 in tax refunds.
To get that number, they divide $3.1 billion – another projection of the amount of money the state would keep if C passes – by the number of families.
But that approach assumes each taxpayers qualifies for every possible refund. The legislature has devised 12 special-interest tax breaks for things such as child care and business and capital-gains exemptions. No taxpayer qualifies for every refund.
– Staff writer Mark P. Couch
