Michigan Democrats Want Graduated Income Tax
Michigan Democrats are wanting to pass a graduated income tax which they believe would bring fairness to Michigan's state tax system.
Do you believe that?
Essentially they are asking for people with more money to pay more taxes than those with less.
Did you know that Michigan is only one of 7 states with a flat state income tax among the 43 states that have an income tax.
Did you just figure out that 7 states do not have a state income tax?
The Democrats are looking at the following rates and brackets:
- Those making up to $20,000 a year would pay 3.9 %
- Those earning between $20,001 and $60,000 would pay 4.35 %.
- Incomes above $60,000 would be taxed at 6.9 percent.
Some believe this graduated tax system would raise some Michigan $600 million more in state revenue in its 1st year at the same time giving a tax cut to 90% of tax filers.
The problem for the Democrats is that it would require approval by the citizens of Michigan by a vote to do so since, the state income tax is in the Michigan Constitution.
What are your thoughts of a state graduated income tax?
Why is the first move always to increase taxes instead of decreasing spending?