Editorial: Is it a sin to make more money?
Published 9:05 am Thursday, April 23, 2009
Legislators love to raise “sin taxes,” those extra charges on things you shouldn’t be doing in the first place, like drinking or smoking.
The Minnesota House DFL apparently thinks it is also a sin to have a high income. House Taxes Committee Chairwoman Ann Lenzcewski has proposed a tax increase plan that not only raises the cigarette tax by 54 cents and the alcohol tax by 3 cents to 5 cents per drink, it creates a 9 percent tax bracket for people who earn more than $169,700 a year ($300,000 for married couples).
Gov. Tim Pawlenty is sure to veto this or similar proposals that get to his desk.
The proposal would eliminate a lot of current tax breaks and deductions and replace them with credits aimed at those with more modest means.
The proposal would also allow counties to raise sales tax to replace local government aid and hold down property taxes (basically, replacing a recessive tax with another recessive tax), taxing digital downloads.
Worst of all, income and corporate tax breaks for companies participating in the Job Opportunity Building Zones program would disappear. JOBZ is a valuable tool for rural economic development and should be allowed to continue.
Well, it looks like this will be another legislative session going into overtime.
— The Journal of New Ulm, April 21