Like Batman and Robin, raising the state Earned Income Tax Credit and minimum wage are best when working together, a new report concludes.
The two strategies are better than one, according to State Income Taxes and Minimum Wages Work Best Together, by the Center on Budget and Policy Priorities. (more…)
Sign up for newsletter and alerts
My family and I were unfortunate enough to experience the recent flooding in Southeast Michigan. Despite the fact that we lost appliances, some precious photos and an assortment of stuff we had accumulated over the past 37 years, we will be OK. We had insurance and were able to get a company to clean and sanitize our basement very quickly. And we will not need to go into our retirement funds to make our losses whole. (more…)
Yes we can grow Michigan’s economy, create good jobs and expand opportunities for all Michiganians with the right public policy decisions. A new report by Erica Williams at the Center on Budget and Policy Priorities outlines how policymakers can make that happen.
Williams explains that states need to invest adequately in education, healthcare, transportation and workforce development. And in order to do that, they need to make decisions about how to raise and spend revenues with an eye toward the future. (more…)
U.S. House Ways and Means Committee Chairman Dave Camp, R-Mich., is having a very expensive change of heart in seeking to make a corporate tax cut called ‘bonus depreciation’ permanent.
Camp’s previous plan for tax reform recommended ending bonus depreciation. A recently released report by the Center on Budget and Policy Priorities details Chairman Camp’s policy reversal.
Bonus depreciation lets businesses take tax deductions for certain new purchases such as machinery and equipment upfront. The goal is to spur investment and economic growth during recessionary cycles. (more…)
Join us in urging state lawmakers to support the investments in children and families that are needed to reduce poverty, help low-wage workers, restore funding for public schools and universities, and ensure that communities have the revenues needed to provide the basic services that residents and employers need to thrive and help the economy grow.
Joint House/Senate conference committees are beginning to meet today to resolve differences between the House and Senate versions of the Fiscal Year 2015 budget. After conferees sign a negotiated conference report, the budgets are sent to the full House and Senate, where they can be approved or rejected, but not amended. (more…)
As Michigan lawmakers head off to Mackinac Island for the annual Detroit Regional Chamber of Commerce policy conference, they are scrambling to resolve several big ticket issues that have slowed down the budget process and could reduce the amount of money available for services critical to our state’s economic development.
First is how best to fund much-needed improvements in Michigan roads, bridges and public transit. The governor wants at least $1.3 billion a year for improvements while some think that isn’t enough. There is little controversy that something needs to be done, but much disagreement on how to pay for it. (more…)
A new proposal to create so-called sales tax holidays here in Michigan may sound appealing, but it’s poor public policy.
Sen. Mark Jansen’s proposal (Senate Bill 943) exempts certain items from the sales tax for several days prior to camping season, the beginning of school and hunting season. The idea is that eliminating the sales tax during certain times of the year will help low-income taxpayers, spur spending and cost the state little in revenue, but the facts show otherwise.
And because of that, it’s not surprising that in recent years a number of states have ended their sales tax holidays. (more…)
The numbers are in and they show that the reduction in the Michigan Earned Income Tax Credit from 20% of the federal credit to 6% has resulted in a $247 million tax increase on low-income working families.
Recently released data on the Michigan EITC for tax year 2012 from the Brookings Institution and the Michigan Department of Treasury reveal the actual EITC dollars lost for hardworking Michigan families. (more…)
Two new studies out this week should help drive a stake through the heart of the argument that cutting taxes will lead to prosperity.
For far too long tax cuts have been the tool of choice for Michigan policymakers. And guess what? Tax cuts don’t work as promised. (more…)