Gov. Evers, Republicans have competing middle-class tax cut plans

MADISON, Wis. (AP) - Assembly Speaker Robin Vos says if Gov. Tony Evers' tax cut plan raises taxes on anyone to reduce taxes on others it's a non-starter with Republicans.

Vos made the remarks to reporters Tuesday afternoon before he was set to testify at a joint legislative hearing on Republicans' own tax cut plan.

Evers wants to fund an $415 million annual income tax cut for the middle class by capping credits in a manufacturing and agriculture tax credit program Republicans support.

The GOP would fund $340 million in annual income tax cuts for the middle class by pulling dollars out of the state's budget surplus.

Vos says there's no need to raise taxes on anyone given the surplus. He says he hasn't read the details of Evers' plan but he knows but if it's based on raising taxes on anyone it's a non-starter.

Evers says he won't sign a Republican tax cut that relies on tapping into reserves, because it doesn't have a source of funding for the future. He says the $340 million needed to pay for the income tax cut is needed in other areas. He didn't specify what, but he plans to call for increasing aid to public schools by 10 percent, at a cost of $1.4 billion.

The Evers plan would create a 10 percent refundable tax credit for single filers earning below $80,000 a year and married-joint filers making less than $125,000.

The average savings under the Republican plan is $170 per filer.

Evers' office says the average under his is about $225.

Republicans are moving quickly on their own tax plan. The Assembly Ways and Means Committee is set to vote on the Republican plan on Wednesday.

The committee's chairman, Rep. John Macco, told reporters he has read Evers' plan and he found it "bizarrely complicated."

Evers' plan doesn't identify a funding source for about $370 million of the plan over two years. Democratic lawmakers said Tuesday that can be worked out as the income tax cut is considered along with other spending items in the budget.



 
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