
Enjoy.Claim: Walker says that as governor he wants to decrease taxes on employers, property owners, wealthy investors and retirees.
Reality: This makes for a great sound bite on the Republicancampaign trail, but Walker’s tax proposals would blow a $5 billion hole in the state budget, according to research conducted by OWN. First off, Walker would inherit a $2.3 billion deficit. Then he wants to slash the income tax for the top 1% of earners, which would cost the state $287 million over the biennium. He also wants to reopen the “Las Vegas loophole” to reward Wisconsin companies that set up phony offices in states without a corporate income tax to avoid paying Wisconsin state taxes. That move would set the state back about $375 million.
Then he wants to roll back the capital gains tax paid by the state’s wealthiest people. Cost to the state over two years: $243 million. Walker also wants to phase out taxes on retirement income—regardless of the retiree’s wealth—which would cost the state a whopping $920 million over the course of two years. And Walker’s latest gimmick is to put the sales tax from new cars into the transportation fund, which would take more than $1 billion out of the state’s general fund.
Total cost to the state: $5.125 billion during Walker’s first two years in office.
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