Dear Taxpayers,
As you know, the State of Minnesota has a historic surplus and budget reserves nearing $20 billion. I recognize that the state exists because of and serves the taxpayers, not the other way around. Minnesotans do not exist for the purpose of the state.
Understanding that, it’s shameful that the Democrats are wanting to raise taxes and grow government by increasing the size of the budget by an obnoxious 40%!
TAXES: Failing to Fulfill the Promise to Fully Repeal Tax on Social Security Income
Late last week, the House Majority approved this year’s tax omnibus bill. The bill represents a missed opportunity to provide Minnesotans with the tax relief that they so badly deserve.
Instead, Democrats are raising taxes by $2.2 billion in this bill—nearly $10 billion across the entirety of their budget—and fail to fully repeal state taxes on social security benefits that Minnesota seniors were promised on the campaign trail.
Click here or the photo below to see my comments about the need to fully repeal the unfair state tax on social security benefits.
Here are some other details from the bill (not including the $3.45 billion in transportation taxes):
- Establishes a new 5th-tier tax bracket that would make Minnesota the state with the highest tax rate in the entire country.
- Raises taxes on businesses making Minnesota less competitive than it already is for small and main street businesses.
- Failing to provide a full repeal of social security benefits from state taxes. A full repeal would have provided nearly half a million Minnesota seniors with an average of $1,276 in tax relief per year.
- Changes e-pull tabs as we know it, causing significant financial harm to charities in our area that depend on charitable gambling for funding. Thank you to everyone who reached out to me on this important issue.
Further, the bill includes some money for rebate checks, but only for certain income limits. These rebates will be much smaller than talked about during last fall's campaign. A measly $275 per individual earning under $75,000 could be available and joint filers with incomes under $150,000 may get a one-time $550 rebate.
The best policy to help families is permanent tax reduction, that’s why I co-authored a larger child tax credit and lowering of income tax rates.
A Spending Problem, Not a Revenue Problem
While the government increases spending by 40% and spends the entire $17.5 billion surplus on further government programs, you and your family will be asked to fork over billions of dollars in new taxes. This is not “One” Minnesota as Gov. Walz likes to talk about so often. This is one “EXPENSIVE” Minnesota and a divisive budget where some are going to pay the price for Democrats’ lack of fiscal restraint, for the benefit of others.
See my closing comments on Minnesota having a spending problem, not a need for more revenue by clicking here or the photo below.
Remember: A government big enough to give you everything is also big enough to take it all away.
Thanks again for all your support and messages. We will continue to keep you updated as we enter the end of the 2023 legislative session. Please feel free to share this with neighbors and if they want to subscribe to future Koznick Connections sign up here: https://bit.ly/3HBujIU
Jon Koznick
State Representative