what bullshit.

Quote:

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LOS ANGELES - California state lawmakers are considering an unusual idea to solve the state's huge budget shortfall: Tax pornography.

The idea was proposed by a state assemblyman, and would impose a 25 percent tax on the production and sales of pornographic videos -- the vast majority of which are made in southern California.

It is unknown, however, how seriously lawmakers will take the idea or how the porn business would deal with the new tax. It is likely, though, that porm-makers would simply pass the cost along to consumers by making pornographic materials more expensive.

However, many economists believe that pornography is an industry with inelastic demand -- meaning market conditions typically don't affect consumers' desire for the product. In other words, it is believed that most porn consumers would continue to buy regardless of how much it cost.

A potential economic downside to the tax proposal is that porn producers could leave California to manufacture and distribute videos in other states that don't impose the tax.

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SOURCE

"Porn tax

Proposal to levy hefty tax on smut stalls in California Assembly

Even in the face of an estimated $20 billion budget deficit, a bill that would raise revenues by imposing a 25% tax on earnings of the pornography industry is meeting with stiff resistance in the California legislature, with opponents claiming it would drive a multi-billion-dollar industry out of the state."

http://tinyurl.com/5q2rm6

(this will be my first, and last, reference to "California Catholic Daily." "Stiff." Ha-ha.)

The hearing in the Assembly Revenue and Taxation Committee ended up with no vote being taken; instead, the bill was placed into the "Suspense" file. Let's hope it rots there!

Dave