[Congressional Record Volume 141, Number 1 (Wednesday, January 4, 1995)]
[Extensions of Remarks]
[Page E20]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                         SOURCE TAX LEGISLATION

                                 ______


                             HON. BOB STUMP

                               of arizona

                    in the house of representatives

                       Wednesday, January 4, 1995
  Mr. STUMP. Mr. Speaker, today I reintroduce legislation to prohibit 
State governments from taxing the pension income of people who reside 
in other States.
  The so-called source tax has become a major cause of anger and 
concern among retirees in Arizona and other States. Many of these 
retirees are being forced to pay income tax to States in which they no 
longer live, nor have lived for many years.
  In my opinion, the authority of California and other source tax 
States to tax Arizona residents merely because those residents may at 
one time have lived in those States and were covered by a pension plan, 
is dubious at best. The legislation I am introducing today would make 
clear that one State cannot tax the pensions of people who live in 
another. It is my belief and the belief of my constituents, that if 
source tax States need to raise revenue, they should do so from their 
own residents--not from people who cannot respond at the ballot box.


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