The state sales tax rate is currently 5 percent; Huebsch says adding 8 cents would allow the state to eliminate income taxes. ”If we were just going to eliminate the income tax and raise our sales tax to match that, we would have to raise it somewhere in the neighborhood of about 8 cents. We would have to go to about 13, maybe 13 1/2 cents in our sales tax.” Individual income taxes equaled $7.0 billion in 2012 in Wisconsin.
Pair that news with Mike Ivey's report in the Cap Times about how economists view Scott Walker's so-called reforms.
Going forward, many are focusing on the Wisconsin Economic Development Corp., the quasi-private agency created by Walker to jump-start job creation efforts. But the agency that replaced the stimulus-delivering functions of the former Department of Commerce has been fraught with problems, including losing track of millions in loans and state subsidies.
Moreover, Walker and the Republicans are doing (hopefully not irreparable) damage to what Tommy Thompson always considered Wisconsin's chief economic driver, the UW System, over ideological differences.
So remind me, which reforms are working?