Today is

Wednesday, June 01, 2011

Walkerhood - Takes from the Needy and Gives to the Greedy

Republican lawmakers voted Tuesday to trim taxes for corporations and investors while cutting tax credit programs for the working poor.

JS Online Excerpt:
Titled: Joint Finance panel Adjusts Taxes
One would completely eliminate state capital-gains taxes on long-term investments - they must be held at least five years - in Wisconsin businesses beginning with purchases made in 2011. The other would defer taxes on capital gains reaped anywhere if the proceeds are plowed back into a Wisconsin business.

The proposals would cut taxes by an estimated $36 million over the next two years and much more in future years, as the first proposal starts in 2016.

Walker's proposal to cut taxes for multistate corporations. That would roll back in part the so-called "combined reporting" tax increases passed by Doyle and Democrats in 2009 and reduce taxes by $46 million over two years....Cuts to the Earned Income Tax Credit program for the working poor of $56.2 million over two years, $12.7 million more than the cuts proposed by Walker. The Legislature's nonpartisan budget office has described Walker's proposal as a state income tax increase.

We know jobs are created by demand for goods and services. When $56 million is cut from working poor Wisconsin residents - demand for goods and services will drop proportionately. We know the working poor tend to plow their tax credits right back into the economy. In the meantime, Walker is giving multi-state corporations tax credits worth $82 million over two years partially paid for by the $56 million shift from the poor. That leaves a difference of $26 million everybody else of course will have to pay - and $26 million less in our pockets will leave $26 million worth of goods and services on the shelf. $82 million from the pockets of Wisconsin residents directly into the private treasuries of multi-state corporations.

I'm getting used to it. When Walker and Wisconsin Republicans give wealthy corpse tax credits, it doesn't seem like they're happy or satisfied until they kick Wisconsin's working poor and middle-class wage earners in the face at the same time.

Another View: Democurmudgeon - Tax Increase For The Poor, so Multistate corporations and investors are lured into job creation with reduced taxes.

No comments:

Post a Comment