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State Representative Paul Thissen
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-5375
For more information contact: Michael Howard 651-296-8873
Press/News Releases
Thissen Statement on Governor Dayton’s veto of GOP’S Corporate Tax Cut Bill
Saint Paul, Minnesota – House Minority Leader Paul Thissen released this statement following Governor Dayton’s veto of the Republican tax bill that would have increased the deficit next session by $145 million for corporate and business tax cuts.
“In this tax bill Republicans made it crystal clear that corporations and big businesses are their top priority. But cutting taxes for corporations and big businesses while ignoring homeowners, seniors and farmers is the wrong priority. Governor Dayton made the right choice for Minnesota’s future by vetoing it.
Republicans are simply out of touch with middle class Minnesotans, seniors and farmers. Last year they squeezed Minnesotans with higher property taxes when they eliminated the Homestead Credit while protecting corporate special interests. This year they doubled-down on corporate tax cuts while turning a deaf ear to middle class Minnesotans who have faced skyrocketing property tax hikes.
Next year the state faces billions in debt due to the Republican shutdown budget. Digging our state into a deeper financial hole with corporate tax cuts and putting those tax cuts ahead of paying back our kids is absolutely the wrong approach. Tax reform is a priority for our state’s economic future, but we should do it the right way. That means not adding to our states deficit and ensuring our priority is middle class Minnesotans – not corporate special interests."
Information the Republican’s “Budget Busting” corporate tax cut bill:
· Raids the budget reserve and uses one-time money for ongoing tax cuts.
· Put business tax cuts ahead of school funding: By taking money from the reserves, the bill puts the tax cuts and spending in this bill ahead of paying back the school shift. Under this bill, any surplus in November would first replenish the reserves spent in this bill and secondly go towards the school shift.
· Grows the deficit in 2014-15 and will cost $2.3B by 2026: Eliminating inflation from the Statewide Business Property Tax costs $82 million over the next three years and grows exponentially in the future.
· Business property tax relief in FY14-15 is 37 times higher than homeowner property tax relief. Businesses are the real winners in this bill, not individual taxpayers. Even multi-national companies not based in Minnesota would receive greater tax breaks if it became law.
· Does not address the huge property tax increases the GOP forced on the state last year. The bill only provides $14 million in property tax relief to all property taxpayers in 2013 even though property taxes increased by $370 million in 2012.
· No property tax relief for farmers, even though ag property taxes increased by over 10% in 2012. Apparently farms are considered businesses by the GOP.
· Provides tax incentives but doesn’t pay for them. Everyone likes giving out tax breaks and increasing spending but it is fiscally irresponsible not to pay for them. Some of the provisions in the bill include the Angel Investment Tax Credit, upfront capital equipment exemption, and IRA Federal conformity.
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News Items
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- State Representative John Persell appointed Majority Whip - (Posted: Dec 21 2012 1:11PM)
- Speaker-designate Thissen to Establish Select Committee on Living Wage Jobs - (Posted: 2012-12-19 00:00:00)
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