Last week, the Wisconsin Joint Committee on Finance approved a budget proposal that slaps struggling Wisconsinites with another whopping $2.1 billion in taxes and fees – only months after a February $1.2 billion tax hike.
The $2.1 billion budget includes tax hikes on income, investment, capital gains, manufacturing, tobacco product, oil and energy, retail sales, agriculture, game hunting, education, telecommunications, transportation, and veterans care – over 80 new taxes and fees that will hit Wisconsin families and small businesses when they can least afford it.
Under the Committee’s proposed budget:
  • $491 million in new taxes and fees on hospitals, doctors, and consumers will make healthcare even more unaffordable for Badger State families and businesses.
  • Wisconsin taxpayers and small business owners will be subject to a new 7.75% top income tax rate. The tax hike is pegged at $287 million and will seriously impede job creation and business expansion.
  • The “sin” tax on cigarettes will jump 42% even though taxes on cigarettes have repeatedly failed as revenue generating measures. Consumers of cigarettes and other tobacco products will see $335.2 million in new taxes. We previously released our overview of failed cigarette tax hikes here.
  • The $107.2 million decrease in capital gains tax exclusions will discourage investment and further slow economic growth. The budget includes another $105.7 million in tax hikes on investment.
  • $206 million in tax hikes on oil company profits will make energy more expensive and less affordable – during a recession.
  • $100 million in higher cell phone taxes.
  • Families expecting to deduct child and dependent care expenses will instead face another $15.9 million tax hike.
  • Agriculture and livestock production – two important sectors of Wisconsin’s economy – will see $3 million in new taxes.
  • Game hunters will be taxed an additional $551,500 for certain hunting permits.
  • The $3 million “amazon nexus tax” will make online purchases more expensive for Wisconsinites.
  • A new requirement for Wisconsinite drivers to purchase gold-plated care insurance will raise the cost of owning a vehicle – and force many to become uninsured.
What’s more, the “budget” makes no effort to cut wasteful spending and actually increases FY 2009-11 spending by $3.685 billion.  While most Badger State families and businesses are tightening their belts, legislative leadership and Gov. Jim Doyle are spending like drunken sailors
Click here for ATR’s letter to the legislature and Gov. Doyle denouncing these tax hikes.
Wisconsin residents: CLICK HERE to write your legislators and the Governor in opposition to this massive tax hike package.