The Minnesota DFL has put forward a budget plan to raise income taxes. Shocker! I mean, why would you even consider cutting spending to make up for the $5 billion shortfall. Bad economy? Tons of Minnesota companies laying off people- RAISE TAXES! Yeah, that's the ticket! What a bunch of morons. Morons. How hard is this? Cut the state budget by the amount of money you are short.
The Star Trib leads us to believe the tax hit will "only" be on "the wealthy".
But Democrat strategist, Blois Olson, said on KSTP's "At Issue" this morning that they'd be looking at incomes over "$125,000 or $150,000". This is adding up a bit because I've heard that of the $2 Billion in tax hikes that the Dems are proposing, only about $800 Million can be generated by just raising taxes on income over $250,000.
There are three choices as an individual or business when you're in the red- cut your spending, take on debt to make-up the shortfall, or increase the amount of money you have coming in the door (work harder). The government raises revenue simply by taxing more- taking more money from individuals and business. Government never has to work harder- they just tax you more hence why the size and scope of government must always be placed firmly in check.
Democrats are banking on the idea that successful, native Minnesotans love this state so much, that they're willing to pay a high premium to live here. That we love being part of a welfare state that is accepting more people into the system then we can support. I love Minnesota, wouldn't have moved back here if I didn't, but I'd be a fool not to look at other places to live for the next 30 years should the DFL raise income taxes here any higher. You have to do the math.
Good luck attracting new business with an even higher state income tax rate then we already have-- that's really going to have them knocking on our door. Northwest Airlines is gone. Target and Best Buy are in the retail sector that's going to continue to suffer in any prolonged downturn and they're laying off people.
Combine the taxes with the fact that Minnesota is NOT a right-to-work state (it's a big Union state). The liberals who just LOOOOVE to tout how educated we Minnesotans are...sell that to a company looking to open a new plant or corporate outpost. Good luck.