The State of Vermont is well-known throughout the country for our relatively high tax burdens.  Our state continually ranks in the top five states for the highest tax burden, and while we can argue whether we are one or five, the fact is the taxes paid by Vermonters to support government is significant.

Vermont is also known for the progressivity of its tax code, and progressivity is an important aspect of any broad-based tax policy.  But, it should not be the only basis for the policy.  Rather, tax policy best developed is done so when considering not just progressivity, but also simplicity, fairness, and taxpayer behavior.  Any Vermonter along the Connecticut River can tell you that taxpayers certainly behave a certain way because of the differences between taxes in Vermont and New Hampshire.

Even knowing this, though, the Vermont General Assembly, year after year, continues to build budgets on tax increase after tax increase. Simply put, Vermonters cannot afford anymore. 

While it may be difficult at this time to reduce the tax burdens, we must do so where it is feasible at this time and where it could lead to private sector job growth (ie: capital gains tax changes, and tax changes for exporters).  And, we must prepare ourselves to reform our tax code when the recovery arrives.  We must thoughtfully consider the proposals of the Blue Ribbon Tax Commission, and any other proposals that come forward, that would lead to a more simple, fair, and predictable tax code.