Governor Vetoes Tax Cuts for Middle and Low-Income Families
MADISON – In direct contradiction to his own stated goals of lowering taxes for lower- and middle-income families, Governor Evers on Good Friday vetoed a series of bills that would have largely benefitted service employees who rely on tips, hourly employees who rely on overtime, and homeowners who have been stunned by skyrocketing property taxes.
Assembly Bill 461, authored by Senator Rob Hutton (R-Brookfield) and Rep. Paul Melotik (R-Grafton) eliminated the state’s income tax on overtime earnings. It created a permanent state income-tax subtraction for overtime pay so that earnings over the normal rate of pay are not taxed, matching federal legislation to ensure there are no income taxes on overtime at either the federal or state level. The bill would have saved Wisconsin taxpayers approximately $150 million each year.
“This legislation ensured workers who are struggling with the cost of living, and most especially families living paycheck to paycheck, would be able to keep more of what they earn. It also would have helped employers across industries support staffing needs, from manufacturing and health care to public safety and hospitality. On Friday, Governor Evers told those hard-working Wisconsin citizens that government needs the money more than they do,” Hutton said.
In addition, the Governor on Friday vetoed a bill co-authored by Hutton to eliminate the state’s tax on income from tips. Across Wisconsin, professionals from stylists to waitstaff put in long hours and rely on tips to provide for their families, but they will see no tax relief on that critical income.
He also vetoed legislation co-authored by Hutton to repeal his “400-year veto,” a dubious use of his line-item veto to take away voters’ authority to make a decision at the ballot box about local tax and spending decisions at their schools. Instead, property taxpayers across the state will be subject to 400 years of property tax increases, every single year, until the year 2425.
“Governor Evers’ actions on Friday speak louder than his words in previous election years. These tax cuts would have come as welcome news to the vast majority of Wisconsin citizens who are just trying to provide an income and a home for their families but are finding it increasingly hard to just get by. Fortunately, voters will have the final say in November,” Hutton said.
NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.
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