Taxation Increases Are Never The Answer

In a proposal floated earlier this week, Wisconsin Governor Tony Evers proposed, among other ideas, a new tax rate for the highest earners in the state. Citing increased revenue generated, the governor’s misguided attempt to tax more so he can spend more will end up resulting in the state increasing debt.

Back in 2012, in an attempt to raise revenue and combat debt, French President François Holllande and Prime Minister Jean-Marc Ayrault announced an increase of their top marginal tax rate to 75%. It was projected to raise 30 billion Euros while in reality it raised less than half of that before being quietly rescinded some time later.

What France learned then and what Evers will learn now is that when you try to tax the one class of people who can, and did, relocate to find a better tax climate, your tax revenue will decrease and fall short of projections while you are saddled with the increase in spending.

The Libertarian Party of Wisconsin (LPWI) understands that the real problem in Wisconsin is that the government spends too much, not that they tax too little. The LPWI asks that the governor find ways to economize and save money before deciding to spend even more and raise taxes that are likely going to be uncollected.

For more on the Libertarian Party of Wisconsin, please visit www.lpwi.org.

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.