Another $275 million in tax revenue lost down Walker's rat hole

[lutefisk]

Last edited Sat Mar 7, 2015, 01:32 PM - Edit history (1)

Walker can't throw our money away fast enough as he attempts to mortally wound every good thing the state does for its people and privatize it all. So he throws away $275 million with something "tucked away" in the 2011 budget and to make up for it defunds the UW System by $300 million and repeals statutes governing the System including tenure and shared governance. Is it incompetence or is he just out to wreck the state to feed his personal ambition, or both?

A measure tucked into Gov. Walker’s 2011 budget that effectively eliminated state income taxes on owners of factories and farms in Wisconsin is costing way more than predicted and contributing mightily to the current budget shortfalls.

The Manufacturing and Agriculture Tax Credit was hailed at the time as a job-creating effort that would let businesses invest the savings in new hires and equipment.

But recent figures from the Legislative Fiscal Bureau show the credit will cost the state at least $275 million in additional lost tax collections over the next biennium, or more than double what was originally estimated.

That’s roughly the amount of the proposed $300 million cut to the UW System.

LINK to Cap Times

[Ed Suspicious]

1. But the department of revenue made sure to send me a letter to tell me that I made a mistake on my

2011 returns and that 119.00 mistake has ballooned to $782.00 and that I need to pay up in the next two weeks or be subject to more fines. My family of four earned about 40k that year. I owe the tax, I get it. I just wish we all were paying our fair share. It does point to his priorities, I think. Lower middle earning family, don't let a cent go. Rich people? Eliminate their burden. What a guy. What a fucker of a guy.

[Snarkoleptic]

2. My kid with a 32 ACT, 3.7 unweighted GPA (lots of AP classes),

900+ hours of community service, Boy Scouts, Swim Team, Soccer Team, German Club (President and VP), National Honor Society membership and a major disability received a "not really admitted, but may reconsider" letter from University of Wisconsin, Madison.

Man that pisses me off.

[lutefisk]

3. I'm in a similar situation. You are justified in being pissed off.

We had a great state, a great university system, that we all paid for, and now this college drop out and his subservient legislature are selling out all of that for SKW's run for POTUS. Need those non-resident tuition dollars, I guess.

[the_sly_pig]

4. Gotta believe its rural Wisconsin responsible for this...

Eventually they'll reap what they've sewn. Too bad really....

[lutefisk]

5. Not just rural WI, also the Fox Valley and other areas

But the whole state will pay. Walker is a sick man and he has used his office to sell out the whole state for his run for POTUS.

[ewagner]

8. Agree...n/t

[riversedge]

11. and the upper St. Croix area--RED

[Still In Wisconsin]

7. Actually more than anybody it's the angry, scared racists in the Milwaukee 'burbs

Washington, Ozaukee, and Waukesha counties are three of the deepest red counties in the nation.

[pansypoo53219]

6. can you say kansas?

[Still In Wisconsin]

9. I do think Walker is incompetent to govern, but for him personal ambition drives everything.

Wisconsin is nothing to Walker, other than a vehicle for him to get what he's always wanted (the presidency, obviously).

[lutefisk]

10. Mark Pocan: “I've never met anyone who wants to be president more”

Mike Ellis: "Scott Walker works only for himself"

Scott Walker: "I’ll be at plenty of dairy events and farm events and factories just like when I was governor”

[riversedge]

13. Spot on!!

for Wisconsin.

[riversedge]

12. “At a time of relative economic prosperity, Wisconsin finds itself in a crisis budget, making massi

I have often wished Hintz would have had a better chance to run against Walker.



Factory owner tax cuts cost $275 million more — twice original projections

March 06, 2015 8:00 am • By Mike Ivey | The Capital Times



.............Top bracket taxpayers who qualify will see their state income tax rate fall from 7.75 percent to zero by 2016, when the credit fully kicks in.

Initial projections from Fiscal Bureau said the credits would amount to about $130 million in lost tax collections annually when fully implemented in 2016. But the Fiscal Bureau is now putting the cost at $224 million in 2015-16 and $284 million in 2016-17. The state fiscal year runs June to June of each year.

“I always believed that the credits would cost significantly more than the original projections,” said Winnebago County Executive Mark Harris, who has long warned about the budget implications of the tax cuts.

Rep. Gordon Hintz, D-Oshkosh, noted that the credit allows someone with an income of $2.5 million to pay the same effective income tax rate in Wisconsin as a minimum wage worker.

In a statement Thursday, he rapped the Walker administration for “very poor choices” that created a budget crisis which in turn led to proposed cuts in everything from the UW System to the state parks.

“At a time of relative economic prosperity, Wisconsin finds itself in a crisis budget, making massive cuts to the programs that have always offered economic opportunity,” Hintz said.

Read more: http://host.madison.com/business/factory-owner-tax-cuts-cost-million-more-twice-original-projections/article_81c2fae4-c387-11e4-99d4-1f24e8b06319.html#ixzz3TtE3BzN7