2010-04-16

Legislative Update, April 16, 2010

Dear Neighbor,

Earlier this year, I wrote about the Freedom Foundation’s report that people are “voting with their feet” and moving to places with more favorable tax climates.  This week, the Tax Foundation issued its Tax Freedom day analysis.  Tax Freedom day is the date when Minnesotans have made enough money to pay all taxes, on the federal, state and local level, owed for the year. 

Minnesota citizens worked 103 days – 8^th longest among states – to pay off our taxes in 2010.  This is the highest of all our neighboring states.  South and North Dakota citizens worked 88 and 93 days respectively.  Even Wisconsin (102 days) and Iowa (98 days) reached their Tax Freedom day sooner than Minnesota.  Yet again, we see the need to make Minnesota more competitive and improve our state’s business climate.

Minnesota’s sub-par tax and business climate, as you and I know, is an impediment to economic growth and expansion.  This is compounded by the fact that our neighbors in the Dakotas are among the friendliest tax climates.  At my small business forum and town hall listening sessions, Minnesota’s tax burden was a central issue of concern to job providers and residents alike.

Lasting economic recovery and renewed opportunity will come from Minnesota’s hardworking families and free enterprise job creators.  The angel investor credit and expanded research credit were great first steps, but the Legislature cannot stop there.  We must continue to pass the pro-growth reforms Minnesota families and job creators need.

As the legislative session heads into the final weeks, I encourage your continued feedback and involvement.  Your voice makes a difference.  Together we develop solutions to improve Minnesota’s business climate and open the door to economic opportunity.