"So it really is up to the people of Minnesota. Either we fix our system, or lose the right to bitch when more money flees the state."
Okay. The long awaited and overdue tax reform bill is just about a wrap. Last night it passed the Senate. Today, about noon, it will be re-voted on in the House. Since it already passed the House, this is nothing more than a formality. I would not be a bit surprised to see the Donald J. Trump signature on this bill before the end of business today. Then we go on to our next hill left to climb.
As I was channel surfing this morning, one of the channels had a financial expert on going over the pros and cons of the soon to be signed tax bill. Mostly positive from this man - with one glaring exception. High SALT states. He said many in the high SALT states will either get no tax relief or pay higher taxes. And then he came up with the golden statement which I have heard from many lawmakers as well as tax experts. "It is now up to the higher taxed states to tighten their fiscal belts so they can become lower SALT states. Then they too, can enjoy the benefits of this new law." BINGO!!!
I take no pride that the state of my birth is ranked right up there with socialist empires such as California, New York, and New Jersey. For a state which touts itself as the "brain state" we sure do some stupid things. For example, smart and successful companies I have worked for or with know the value of doing more for less. In Minnesota, the kool aid drinking DFL has many of the minions convinced we should do less for more. Bottom line - we end up a high SALT state, with more and more money fleeing to lower SALT states every year.
One of my very smart friends who has a weekend talk show in the Twin Cites always asks this question - "Is this a hill worth dying for". Ladies and gentlemen, boys and girls - fixing our out of control, destructive high tax system in this state most certainly is. And I am not talking about slowing the rate of growth - I am talking about real reform. The kind that makes us competitive with states like South Dakota and Texas, and leaves Wisconsin in the dust.
In less than two months our legislature gets back together. By that time, the impact of the newly signed tax bill will be known. For most states in the union, it will be awesome. A real gift for lower taxed states. For states like Minnesota however, it may not be. In fact, it could even be the opposite of a gift.
So it really is up to the people of Minnesota. Either we fix our system, or lose the right to bitch when more money flees the state. And with the advent of this new tax bill, the money leaving the state might go from a strong trickle to a major flood. Wake up Minnesota - it is now go time.