Monday, May 04, 2009

The taxman cometh

Rep. Sarah Anderson (R-Plymouth) reports that the DFL House tax omnibus bill (HF2323) contains a laundry list of tax increases, all of which Gov. Pawlenty has promised to veto.

"If you earn over $16,000 in income, your taxes are going up," said Anderson in an e-mail to constituents. "Starting at $30,000 in income, there are more losers under this bill than winners. Most people don't think of $30,000 in income as being wealthy."

Here is a peek at some of the "revenue enhancements" proposed by the DFL:
  • Increases taxes overall by $1.5 billion

  • Increases sales tax by .5 percent through county adoption

  • Eliminates mortgage interest deduction from income taxes

  • Eliminates property tax deduction from income taxes

  • Eliminates education tax credit

  • Eliminates long-term care insurance premium credit

  • Eliminates child/dependent care tax credit

  • Eliminates JOBZ economic development tax credit

  • Reduces the Market Value Homestead Credit for homeowners

  • Eliminates organ donation deduction from income taxes

  • Eliminates charitable giving tax credit

  • Imposes tax on digital downloads such as iTunes, books, etc.

  • Imposes sales tax on boats, snowmobiles, and ATVs sold by an individual

  • Increases taxes on cigarettes

  • Increases taxes on beer, wine, and liquor

  • Creates 4th tier income tax bracket increasing taxes on small job providers

  • Eliminates gas tax credit for the poor that was created just last year

  • Increases property taxes by lifting levy limits on cities (county limits are lifted in 1 yr)

  • Imposes new tax on heating fuels for homes of a certain size

"The money won't go to schools, public safety, or veterans," said Anderson. "Last week a bill passed giving $50 million for the St. Paul RiverCenter hockey arena. Another bill passed spending $200,000 on a new program called the Indigenous Earthkeepers that will educate certain kids age 15 to 19 years on the environment. Lastly, legislation passed extending welfare benefits to illegal immigrants."

Click this link to urge your legislators to solve our budget deficit responsibly, without raising taxes.

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