Sen. Marty: Report shows state’s tax system unfair for working families
The Minnesota Department of Revenue released new data today showing Minnesota’s tax system has become increasingly regressive over the past decade. The report, known as the Tax Incidence study, shows the wealthiest Minnesotans pay a substantially smaller share of their income in state and local taxes than lower and middle-income Minnesotans.
In response to the report’s release, Sen. John Marty, DFL-Roseville, issued the following statement.
“Over the past eight years, the policies of the Pawlenty administration shifted our tax structure from the income tax and onto the backs of property taxpayers. This shift made Minnesota’s tax system more regressive and less fair for lower and middle-income Minnesotans.
Despite his “no new taxes” rhetoric, under Gov. Pawlenty, 90% of Minnesotans saw their tax burden rise while the wealthiest 10% of Minnesotans saw their share of taxes significantly decline.
Today’s report highlights the important choice before our state: Gov. Dayton has proposed a fair budget solution that simply asks the wealthiest in our state to pay closer to their fair share of taxes. This change would help fund new investments in education, protect public safety, and move our economy forward.
In contrast, the Republican majority in the Legislature want to continue the pseudo-“no new taxes” policies of Tim Pawlenty. Their budget will lead to even higher property taxes on every homeowner, renter, and business in the state. Their budget will drive tuition through the roof—denying so many young people of a chance at higher education. It will hurt public safety by forcing local governments to lay-off police officers and firefighters. Their budget will hurt the most vulnerable people in our society: the sick, people with disabilities and the elderly. In addition to failing to prevent problems, it will cost far more in the long run.
The choice is clear. Either we can protect working families and move our economy forward, or we can continue to shift the tax burden onto Minnesota families.”
The full Tax Incidence Study can be found here: (http://taxes.state.mn.us/legal_policy/Documents/other_supporting_content_2011_tax_incidence_study_links.pdf)