MADISON, WI (WSAU) — Governor Tony Evers had issued vetos for three Republican-backed tax bills.
The Democrat said that the bills would have put the state “on a path toward insolvency, leaving the [Wiscosnin] unable to meet its basic duties to provide adequate funding for programs and services provided by the state, including education, healthcare, child care, public safety, and aid to local governments in the 2025-27 biennium and beyond.”
The vetoed package includes an adjustment to the top line of the second tax bracket, an expansion of the marriage tax credit, and a proposal that eliminates state income tax on the first $75,000 in retirement distributions for those filing single and $150,000 for joint filers.
Evers added that the bills if enacted, could also “result in the state having to repay billions of dollars in federal relief funds it received under the American Rescue Plan Act of 2021. This would completely reverse the progress made in the last five years to improve the state’s fiscal condition even under the best of economic circumstances, jeopardizing critical investments to expand high-speed internet, bolster the state’s workforce, build healthcare infrastructure, support law enforcement and public safety, and address the child care crisis, among other high-priority needs across the state.”
Earlier this week Governor Evers told WSAU News that he was non-committal towards the measures, saying “I want to make sure it’s around the issues of middle-class taxpayers. Hopefully, I can [sign them] but we’re working on it,” added Evers. “No hedging, we’ll take a look.”
Evers made the announcement in a press release on Friday. He did not announce a decision on a fourth bill, which expands the state childcare deduction. During that same media availability, he did say that the bill would likely be signed.
RELATED: Wisconsin Republicans Introduce Tax Cut Proposals
The $2.1 billion package was introduced by Republicans, including Pat Snyder of Schofield, who called it a “scaled-back” version of a previously proposed $3 billion cut that Evers also vetoed. At the time, Snyder said he felt the new package was “more in the Governor’s range” than the previous proposal.
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