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Saturday, July 9, 2011

Income Tax: 'Wisemen' income tax proposal isn't going anywhere


“The Wisemen” promised a verdict on how to solve the budget mess by Friday, and they delivered a day early. Politico’s James Hohmann writes: “Surprising no one, the commission organized by Walter Mondale said Thursday that tax increases are the way to solve the Minnesota budget impasse that has shut down the state government for a week. 

Mondale’s bipartisan group of six took only two days to recommend a 4 percent, across-the-board income tax hike on all Minnesotans, an increase in the cigarette tax by $1.29 per pack and a boost in the alcohol tax. Over time, they also want fewer items to be exempt from the sales tax. But it seems unlikely to make things move. 

Democratic Gov. Mark Dayton, who campaigned last year on a ‘tax the rich’ mantra, quickly put out a statement disagreeing with the group’s call for an across-the-board income tax hike. ... Republican Speaker of the House Kurt Zellers blasted the Mondale commission for taxing ‘Joe Six Pack’s six pack.’ ” Read More

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