June 10, 2011--Tax Bill

In the mail was a tax bill for our house in Maine. IRS mail, or mail from any tax authority always gives me palpitations so I said to Rona, "Let's go into town and have a drink before looking at it."

Thus fortified, we proceeded to open the envelope and extracted the bill millimeter by millimeter. Before Rona unfolded the letter, I excused myself, pretending I needed to visit the men's room. "Vermouth always acts as a diuretic," I fibbed and raced away.

When I returned Rona was all smiles, "It's good news."

"A refund?" I eagerly asked.

"No silly. The good news is that they didn't raise our taxes for this year. They billed us for the same amount as in 2010."

"That's great! Let's splurge and order a dozen Damariscotta oysters. I love them. And of course you." I was clearly feeling euphoric and it was Rona's birthday.

"Good idea. But also, take a look at this." She extended the bill to me.

"It looks like a normal real estate tax bill. I don't see anything special except the bottom line, which looks to m like last year's."

"Look more closely. Near the bottom." She slid off her stool to stand behind me. "There." Rona said, tapping on a list of numbers and percentages,

"Let me get my reading glasses."

"See what I mean?"

"I do now. Fascinating. I don't ever recall seeing anything like this on a tax bill."

"I wonder what taxpayers would think if all tax bills were like this one from the town."

"It would probably get a lot of people even more riled up about taxes."

"But maybe some," Rona added, "would feel better about how much they have to pay."

What we had noticed was a section of the bill called "Current Billing Distribution." And it provided just that--to the penny how much we were paying in county tax, how much in municipal taxes, and then how much for "School/Education." Then to make things even more explicit the bill broke this down in percentage terms--20% was going to the county (presumably to pay for roads and other forms of infrastructure); 18% was to be allocated to the Town of Bristol itself (for services such as the police and fire departments); and then the remaining 62%--62%--was for schools and the education of the town's children.

"I'm shocked, aren't you," I asked, "by how much goes to the schools."

"I am," Rona said. "That's much more than I would have thought. That represents some commitment on the part of the people here to the education of their and other people's children."

"And I am sure it makes some childless couples and some retired folks wonder if so much should be spent that way. Especially with almost everyone hurting financially they way they are."

"You know what I'm thinking?" Rona asked with a sly smile.

"I think I do."

"What would happen, politically I mean, if every city--like our New York City--and every state and of course the federal government would provide this much information on their tax bills?"

"Excellent point. How much and what percent goes for Medicare, for Social Security, for the Pentagon, for . . ."

"The interest on the national debt, for foreign aid, for running the federal government itself . . ."

"For veterans, for each of our wars, and of course for education."

"For schooling it would be a tiny portion of the total bill."

"Even less for foreign aid as well as for the cost of running all the federal departments."

"People who follow these things closely sort of know how the government-spending pie chart looks. But most don't. Surely not with so much specificity."

"Us included," I said, "if our surprise at the town tax bill is any indication of what we don't know."

"It would be pretty stark to have that much transparency and information from the IRS."

"In dollar-for-dollar terms right there on all our tax bills."

"I don't know what it would lead to," Rona said, "Again politically. But I guarantee it would have a profound effect on the debate we're currently having about taxes, spending, and the national debt."

"Profound I'm not so sure about because with the media enjoying the food fight the Republicans and Democrats are having I suspect everyone would use that information to agitate people even more."

"You're probably right, but I vote for more not less information."

"And I vote for another drink," I said.

"And maybe another dozen oysters," Rona added.