Borrowing Less, Investing More, and Cutting Taxes
As the 2021-2023 budget negotiations wrap up this week in Madison, the final budget plan is coming together that borrows less, invests more, and cuts taxes while upholding Wisconsin’s sound financial principles. Below, I’ve briefly highlighted major elements voted on in the Joint Finance Committee. In future E-Presses I will itemize specific details of the budget.
- $3.4 Billion in total tax relief
- Reduces the third income tax bracket of 6.27% down to 5.3%. This is a $2.3 billion income tax cut that will save the typical Wisconsin family almost $900
- $650 million directed towards property tax relief, which will also achieve 2/3rds funding for schools. This will be approximately a $300 property tax savings for a typical home
- $200 million to eliminate the personal property tax, taking a burden off main street small businesses around the state as they work to recover and grow
- Creates a nonrefundable tax credit for child and dependent care expenses starting in tax year 2022
- Transfers $200 million into the State Rainy Day Fund, which combined with the previous transfer of $350 million earlier this year means the fund will grow to over $2 billion
The 2021–23 budget bill is the culminating work product of the last five months of bill drafting, legal and policy review, and discussion. Over the next week, the non-partisan Legislative Fiscal Bureau and Legislative Reference Bureau will be transcribing all the budget numbers.
When the prepared budget document is released, I will closely analyze how it will affect seniors, veterans, businesses, families, and education in the district and throughout Wisconsin before voting as your representative in the 40th Assembly District.
