Contact: Rep. Terry Katsma, (608) 266-0656
Madison – Rep. Terry Katsma (R-Oostburg) and the Wisconsin State Assembly passed Assembly Bill 4, delivering $340 million in tax relief for middle class families. Assembly Bill 4 uses the state’s budget surplus, one of many developed over the last eight years under Republican leadership, without complicating the filing process or raising taxes on businesses and farmers.
“I am very happy that we were able to put money back in the hands of Wisconsin’s middle class families, without making Wisconsin’s tax code any more complicated than it already is,” said Rep. Katsma. “This bill gives taxpayers back their own money that the state did not use over the current biennium.”
By using the budget surplus, Assembly Bill 4 is able to fulfill Governor Evers’ campaign promise without negatively affecting Wisconsin businesses. Governor Evers’ proposal raises taxes by $518 million on small businesses and manufacturers by eliminating a tax credit that has created 42,000 jobs over a three year period.
“Wisconsin has significantly improved its business climate over the past eight years, and we should be encouraging manufacturers and farmers to continue producing in Wisconsin,” said Rep. Katsma. “While it is good to see that Governor Evers agrees that income taxes should be cut for those in the middle class, this cut will not come at the expense of Wisconsin’s manufacturers and farmers.”
The proposed tax reductions are targeted to individuals making less than $100,000 and families earning $150,000 or less. A median-income family, filing jointly, would see a $310 reduction in net taxes according to nonpartisan Legislative Fiscal Bureau projections.