State Representative Paul Torkelson (R-Hanska) said all hardworking taxpayers will begin to see less money in their wallets and purses now that legislative Democratic tax increases have officially begun.
July 1 marked the beginning of a new budget cycle in the State of Minnesota, and Torkelson said many of the dozens of tax and fee increases approved by Democrats during the 2013 legislative session were implemented on this date.
“When Republicans controlled the Legislature, we prioritized common sense spending, leaving taxes alone, and eliminating wasteful government programs,” Torkelson said. “These decisions helped our state eliminate a $5 billion deficit and create a $3 billion surplus for the budget cycle that ended on June 30. Despite this success, the Democrats went in a different budget direction and chose to radically waste your money on an expanded government, and now every Minnesotan is going to pay the price.”
Under the Democrat budget plan, state spending has been increased by $3 billion in order to spend $38 billion on state government programs over the next two years. To pay for these unnecessary spending increases, Torkelson said the Democrats leveled a $2.1 billion tax increase on all hardworking Minnesotans.
How will you be impacted? Rep. Torkelson highlighted a few scenarios.
If you drive, you’ll pay more for your driver’s license, and your motor vehicle sales tax will increase if you drive specific vehicles. There’s also a new county wheelage tax on every vehicle that your family owns, to be imposed at the discretion of the county board.
You’ll also pay an increased tax for a rental car when your vehicle is in the shop.
If you pay health insurance premiums, get ready to pay a new tax. If you smoke, you’ll pay $1.60 more per pack. If you’re a small business owner and pay individual income taxes on your business income, get ready to send more of your profits to state government.
If you’re a farmer, you’ll see increased taxes on agriculture inputs and farm equipment repairs. And in a move that’s sure to make it more difficult to keep your farm in the family, you’ll have a new estate tax to deal with.
Finally, if you own a satellite dish and buy products over the internet, you’ll be impacted by the new sales tax on these purchases.
“All of these tax increases add up quickly,” Torkelson said.“It’s not exactly the ‘tax only the rich’ promise Democrats made to voters last November. If that’s the case, every person who lives in this state must be rich, because these unnecessary tax and fee increases will impact all of us regardless of our income level.”
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