A recent study shows that the richest Minnesotans, MN’s very own 1%, pay far far less in taxes than the rest of us do. 35% less in effective tax rate to be exact, claims Wayne Cox of Minnesota Citizens for Tax Justice.
His data comes from the fourth edition of “Who Pays? A Distributional Analysis of the Tax Systems in All 50 States” released today by the Washington-based Institute on Taxation and Economic Policy.
(Snapshot from ITEP’s PDF of MN data)
The above graph combines state and local income, property, sales and excise taxes to arrive at the percentages.
“These results confirm past studies by the Minnesota Department of Revenue that those with very high incomes pay a rate considerably smaller than those with lower incomes,” said Cox.
Bridges fall, tuition skyrockets, property taxes increase year after year but the 1% have gotten a great deal under the Republicans. The days of the Minnesota Miracle have eroded.
“Minnesota has lost ground on progressivity in the last decade,” Cox continued. “Revenue says Minnesota has dropped to 14th highest amongst the states in progressivity.”
For example, as the Republicans slashed LGA and education budgets, local governments raised property taxes to cover police, fire, road maintenance and basic operating budgets for our schools.
School districts stopped trying to pass property tax levies for new buildings and etc. They started putting them on the ballot for basic operating expenses.
And through all this destruction to our way of life, through year after year of tax hikes on the middle class, the 1%’s share shrank.