New York Times Interviews Tax Foundation Director of State Projects Joseph Henchman on 2010 State Budgets

"New Year but No Relief for Strapped States"

By Jennifer Steinhauer

It is one of the bleakest new years that states have seen in over a decade.

On Wednesday, governors in California, Kentucky and New York kick off the season of addresses to state lawmakers as at least 36 states struggle to close budget shortfalls and also begin confronting the next fiscal year's woes. ...

Last year nine states raised income taxes, and 15 states and the District of Columbia raised taxes on cigarettes.

"There is pressure for more tax increases in more states," said Joseph Henchman, the director of state projects for the Tax Foundation, a research group. "It will be a hard sell in states where people think spending hasn't been cut enough."

One test of voter tolerance for new taxes will come next month in Oregon, where voters will be asked to consider two measures that would increase taxes on corporations and wealthy taxpayers to help balance the state's budget, specifically for education, health care and public safety.

[Read the full article here.]