Posts Tagged ‘Minnesota business property taxes’
Minnesota’s Only Frozen Tax: The State Business Property Tax
State and local taxes in Minnesota typically grow over time in response to increased consumption and rising economic activity, and to keep pace with the growing demand for public services. There is one notable exception to this rule: the currently frozen state business property tax. Because this tax is frozen, the cost of government shifts…
Read MoreMinnesota Business Property Taxes Per Capita, Employee
Minnesota business property taxes really aren’t that high, based on analysis of information from the annual business tax report prepared by Ernst & Young (EY). As described in the preceding article in this series, Minnesota’s business effective property tax rate is below national and regional averages and less than in most other states. An analysis…
Read MoreMinnesota Business Property Taxes Below Average
A common mantra among conservatives is that Minnesota business property taxes are high relative to other states—a view promulgated by Minnesota’s business lobby and interest groups. Analysis of data from impartial sources, however, suggests that the opposite might be true. The most commonly cited claim that Minnesota business property taxes are among the highest in…
Read MorePolicy Rationale (or Lack Thereof) for Repealing the State Business Levy
Minnesota’s business lobby wants to repeal or reduce the state business property tax, despite the fact that the constellation of 2001 changes that included the state property tax has worked out well for business, the affordability of such a large tax reduction is questionable, and the payers of that tax enjoy advantages that other Minnesota…
Read MoreState Business Property Tax: Flat Levy, Declining Rates
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 tax might not just spend down a surplus, but inflate a deficit, as…
Read MoreAre Large Cuts to the State Business Levy Affordable?
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 enacted, statewide business property taxes would be 11.5 percent higher today, holding…
Read MoreWhen Winning Big Isn’t Enough
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. This, they claimed, made it too easy for local governments to increase…
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