Budget-Time always seems to drag the real motivations out of some people. Republican's in the legislature for example are so protective and territorial about the current tax break for capital gains on investments. Even though Wisconsin's 60 percent tax exemption is one of the most generous in the nation, Republicans in Madison turn into chicken littles at the very thought of peeling it back even a little. As the Milwaukee Journal Sentinel reported today, the tax break only benefits 9 percent of Wisconsinites and even then, they only net an average of $920 from it a year.
If Republican heads were spinning over the idea of simply peeling it back, what is going to happen to them with the idea in the Senate version which calls for ditching it altogether? I'm afraid that their heads could simultaneously explode. Its very nice of them to get so worked up protecting the interests of 9 percent of Wisconsinites but they should really think of their health! While they're at it, they should also start thinking of the health and well-being of the other 91 percent of us as well.
The Senate version of the budget has no increase in the sales tax or the income tax (for the vast majority of people). Further it offers controls on property tax bills. That is not good enough for the GOP in Wisconsin, they are simply too obsessed with standing up for the 9 percent (and even more elite types) to worry about the rest of us.