A TAX PROTEST THAT WORKED

Another example of government gone awry occurred recently in St. Louis. There bureaucrats decided to extract a few more dollars from 401(k) savings accounts that are designed to defer federal and state taxes until retirement withdrawals are made.

St. Louis, like many other cities, has its own form of income tax known as an earnings tax. Lo and behold, a judge ruled that 401(k) accounts aren't exempt from earnings taxes, leaving St. Louis free to start collecting.

The public outcry, however, was loud and vigorous. City officials quickly realized how politically disastrous it would be to press the right to collect earnings taxes on savings that are otherwise tax-exempt.

Too bad more taxpayers don't raise the same howl about the rest of the unconscionable tax burden imposed at every level of government. The $300 million tax increase contained in Senate Bill 380, the so-called Outstanding Schools Act in Missouri, might be a good place to start.