Calif. vet tax defeated

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JadeIcing

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Sacramento, Calif. -- A tax on veterinary services is officially off the
table in California. Legislators finally passed a 17-month budget during after overnight session Feb. 19 after months of negotiation. The final bill, approved by state Senate and Assembly, does not include a veterinary service tax included in previousversions of the budget proposed by Gov. Arnold Schwarzenegger.


The governor's plan was harshly criticized by veterinarians, who say the tax
would have put a huge burden on pet owners and compromised public health. The
California Veterinary Medical Association (CVMA) also opposed the tax on the
grounds that it would have made veterinary medicine the only taxed
healthcare service in the state.


"Requiring pet owners to pay a tax to care for their animals is bad public
policy," says Bill Grant II, president of the CVMA. "We are pleased the members
of the 'Big Five,' including the governor, recognized that and that the
proposed tax was removed from the final budget bill."


The CVMA organized a large-scale grassroots campaign to oppose the tax, which
was first proposed in November to help close California's $42 billion budget
deficit. The veterinary service tax would have added about 10 percent to
veterinary bills and, along with other non-medical service taxes, provided about
$350 million in new revenue for the state.


"The opposition of veterinarians, pet owners and concerned citizens was so
intense, a special extension was added to the governor's budget voicemail line
to handle the opposition to the tax on pets," Grant says, adding thousands of
calls and letters flooded the governor's office. "We believe the
overwhelming number of calls delivered an emphatic message to the governor that taxing pet owners would be hugely unpopular and inequitable."


The California Legislative Analyst's Office, which reviewed versions of the
state budget proposals agreed in a recent analysis, saying the veterinary tax
would "create inequities in the tax structure by taxing some services while
leaving other similar services untaxed."


A full version of the new budget was not available at press time, but it does
include other tax increases outside the veterinary tax. There is no word yet
on when the governor plans to sign the new budget into law.

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Thank god! As if caring for our animals wasn't enough!
 
California is so strapped for cash that they are grasping at any straw they can. That is the primary reason we left 5 years ago. It was just too expensive to live there.
 

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