CC Resolution No. 6541 RESOLUiION N0. 6541
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO
OPPOSING CERTAIN PROPOSED AMENDMENTS
TO THE FEDERAL TAX LAWS
WHEREAS, the City Council of the City of Cupertino is aware that
the United States Congress has a matter of income tax reform under
consideration; and
WHEREAS, one of the major changes in such reform is the removal
of the deductibility clause for local tax payments from the Federal
income tax; and
WHEREAS, such action would oppose the historical concept of
deductibility that has been applicable to the income tax system since
its inception in 1913 as well as retail sales, real estate and personal
property taxes; and
WHEREAS, it would completely violate the argument supporting
deductibility that individuals should not be taxed on a tax; and
WHEREAS, the removal of deductibility would greatly endanger
the revenue raising ability of states and local governments; and
WHEREAS, this may lead to more and more dependence upon the
Federal Government for revenues thus focusing more power at the
Federal level when citizens are now demanding more direct control
of their governments; and
WHEREAS, deductibility actually narrows inter-state and inter-city
tax differences and therefore reduces the incentives for individuals
and businesses to migrate from one jurisdiction to another in an
attempt to seek the optional tax situation; and
WHEREAS, deductibility does provide for more autonomy for state
and local governments with the use of its benefits; and
WHEREAS, this helps governments at the local level to respond
to the concerns of its citizens and does provide the citizen with
the opportunity to have more direct control of government action
that affect their daily lives;
NOW, THEREFORE, be it resolved that the City Council of the
City of Cupertino hereby opposes any effort of Congress to eliminate
or reduce the deductibility of local and state taxes in any income
tax reform package that might be considered by Congress.
PASSED AND ADOPTED by the City Council of the City of Cupertino
at a regular meeting held on the 6th day of May, 1985, by the following vote:
AYES: Gatto, Plungy, Rogers, Sparks, qTTEST: /s/ Dorothy Cornelius
Johnson City Clerk
NOES: None
ABSENT: None APPROVED: /s/ Phil N. Johnson
ay?~or~ u~e~ino
ABSTAIN: None