Minnesota’s economic officials unveiled very predictable news recently, noting that our state has another sizable budget surplus projected for the upcoming biennium.
Considering we’ve seen surplus projection after surplus projection lately, the revelation that Minnesota now has a $1.65 billion surplus, up roughly $250 million from the November update, is not a surprise.
It seems obvious to me that President Trump’s policies have made a positive difference on our future economy. Specifically, rising state income tax projections, up by $274 million, and corporate tax projections, up $69 million, are the biggest changes.
The pace of over-collection by state government continues to accelerate at breakneck speed. If we continue down our current path, in the 2020-21 biennium we’re projected to see a $2.1 billion surplus.
Enough is enough.
These continued budget surpluses occur due to excessive taxation on hardworking Minnesotans. Their tax dollars continue to be taken against their will by the force of an unyielding government. It’s very difficult for Minnesotans to stomach, and it’s time for the state legislature to use this surplus to provide tax relief once and for all.
The middle class has suffered for far too long. Last session we approved legislation that would have provided tax relief for working families, farmers, college students, Main Street business owners, and others. With a $1.65 billion surplus, nothing should stop us from prioritizing these folks again.
With this kind of money available, special interest groups will come out of the woodwork looking for new or additional funding. But in my opinion, this surplus needs to be returned to Minnesota taxpayers – by not collecting it from them in the first place. After all, it is because of their efforts that state government is rolling in cash.