WC Minnesota News

On Monday, the Minnesota House approved its final state budget. Representative Jim Joy (R-Hawley), who serves as Co-Vice Chair of the Taxes Committee, played a significant role in opposing proposed tax increases and supporting policies aimed at helping Minnesota families.

According to Joy, the final tax agreement represents "a return to common sense after years of runaway government growth." He emphasized that no new taxes were imposed on Minnesota families during this session, despite proposals from Democrats for expanded sales taxes and an additional income tax bracket. These proposals included a 12.45% income tax rate on incomes over $500,000, which would have ranked among the highest in the country and could have cost families and small businesses about $8 billion.

Republicans also opposed expanding the sales tax to cover professional services such as legal assistance, accounting, and consulting. This measure would have resulted in more than $400 million in extra costs for residents and businesses.

Other elements of the final tax bill include stopping a requirement that would have made confidential corporate franchise tax data public for companies with more than $250 million in U.S. sales. The legislation also sought to protect rural communities by reducing cuts to Sustainable Forest Incentive Aid (SFIA) and Aquatic Invasive Species Aid (AIS), both of which are important sources of funding for counties and townships.

Joy noted that "in a year when the House was evenly split 67-67, every detail mattered."