Wisconsin Gov. Scott Walker (R) last week unveiled a supposedly “middle class tax cut.” “”Our middle class tax cut is a down payment on my goal of reducing the tax burden in our state every year I’m in office. I want to cut taxes over and over and over again until we are leading the country in economic recovery,” Walker said.
But according to an analysis by the Institute on Taxation and Economic Policy, Walker’s definition of middle class is a bit off. In fact, his tax cut plan would deliver the majority of its benefits to the top fifth of Wisconsin earners.
Meanwhile, “the lowest 20% of tax filers would receive a tax cut of just $2 a year.” People in the middle fifth would receive a whopping $43 dollars per year in tax relief. Meanwhile, those in the richest fifth would receive nearly $300:
As the Wisconsin Budget Project noted, “The estimated cost of the tax cut is $342 million over the two year budget period. To put that amount in context, that is more than the state plans to spend on the entire Wisconsin technical college system over that period.”