Councilmember Jack Evans introduced a resolution and an amendment to the Council Tuesday as his alternatives to raising taxes as . Evans introduced the “Sense of the Council in Support of Tax Parity for Non-Resident Professional Athletes Resolution of 2011” and the “Clean Hands Amendment Act of 2011.”
“In the current fiscal climate, when some are suggesting that taxes be raised, it is important to first collect all taxes already owed to the District.”
Gray's budget includes $127.2 million in tax increases, including marginal income tax increase to 8.9 percent for those earning above $200,000 and decoupling from Federal tax cuts with itemized deduction limitations. Gray also cut $187 million in expenditures, reducing spending in FY 2012 by half of one percent over FY 2011
Evans' Sense of the Council resolution to tax non-resident athletes was co-introduced by Councilmember Harry Thomas and co-sponsored by Chairman Brown and Councilmembers Cheh, Brown, Bowser, Graham, Mendelson, and Alexander.
The Ward 2 councilmember says that D.C. loses tax revenue from non-resident athletes who visit and from the District’s own professional athletes, whose incomes are taxed by other states. "Their District tax liabilities reduced due to prohibitions on double taxation," said Evans.
The “Clean Hands Amendment Act of 2011” would amend Chapter 28 of Title 47 of the DC Code to reinstate the prohibition on the issuance of a license or permit to an applicant who has not filed a required District tax return.
“This is an important enforcement tool in the collection of delinquent District taxes and reinforces the purpose of the Clean Hands law, in that all debts to the District government must be satisfied before receiving a District issued license or permit,” Evans said.
When Gray's budget was first released Evans responded that “in its current form, there is absolutely no way that I will support this budget.”