Homeowner Tax Rates Aren’t Necessarily Falling

by | Mar 23, 2017

Local elected officials have argued that property tax increases—including homestead tax increases—combined with declining real per capita local government revenue have fueled the need for an increase in state property tax aids and credits. But not so fast, says the...

“Giving Back” What You Don’t Have

by | Mar 20, 2017

The tax cut plan released by Senate conservatives last week is still short on details, but here is some of what we do know: it will cut taxes by $900 million, presumably over the course of the upcoming FY 2018-19 biennium. The key elements of the proposal include a...

Aids & Credits Down, Property Taxes Up

by | Mar 16, 2017

Homeowners’ property tax effort is feeble and property tax aids and credits provided by the state of Minnesota are adequate—if not robust—according to a recent article from the Minnesota Center for Fiscal Excellence (MCFE), formerly the Minnesota Taxpayers...

School Vouchers are the Wrong Choice

by | Mar 13, 2017

Many in the conservative movement advocate for “school choice”: aka educational reform in the way of school vouchers, but there are waves and waves of research that suggest private school vouchers harm students who receive them. But first: What are school vouchers?...

State Business Property Tax: Flat Levy, Declining Rates

by | Mar 7, 2017

As a whole, the property tax changes enacted in 2001—including the state business property tax—have worked out well for Minnesota businesses, as noted in part 1 of this series. In addition, the cost of eliminating or drastically reducing the state business property...

Are Large Cuts to the State Business Levy Affordable?

by | Mar 3, 2017

The series of tax changes enacted in 2001—which included the creation of a general state business property tax—have worked out well for businesses. The previous article in this series showed that if the changes that most directly pertain to businesses had never been...

February Forecast Surplus Could Be Illusory

by | Feb 28, 2017

The projected budget surplus for the upcoming FY 2018-19 biennium increased by $250 million to $1.65 billion, based on Minnesota Management & Budget’s (MMB) February forecast, released today. The surplus for FY 2020-21 biennium—the start of which is still 28...

When Winning Big Isn’t Enough

by | Feb 24, 2017

In 2001, business lobbyists worked overtime not only to reduce business property taxes, but also to change to whom businesses pay those property taxes. They argued that local governments were too dependent on business tax base and not enough on homestead tax base....

Rethinking the Research Tax Credit

by | Feb 23, 2017

A recent report from the Office of the Legislative Auditor (OLA) sheds new light on Minnesota’s research tax credit, also known as the research and development, or R&D, credit. This credit allows businesses that conduct qualifying research in Minnesota to reduce...