With an insider’s eye, Hot Dish tracks the tastiest bits of Minnesota’s political scene and keep you up-to-date on those elected to serve you.

Contributors in Minnesota: Patrick Condon, Baird Helgeson, Patricia Lopez, Jim Ragsdale, Abby Simons, Rachel E. Stassen-Berger and Glen Stubbe. Contributors in D.C.: Allison Sherry, Corey Mitchell and Jim Spencer.

To stoke Minnesota economy, Dayton unveils jobs bill

Posted by: Baird Helgeson under Minnesota governor, Gov. Mark Dayton, Minnesota legislature, Minnesota state senators, Democrats, Republicans, State budgets Updated: January 11, 2012 - 2:02 PM

By Jennifer Brooks

Star Tribune staff writer

Gov. Mark Dayton unveiled his jobs bill Wednesday, proposing millions in infrastructure projects, tax credits for employers willing to hire unemployed Minnesotans, tax credits for business expansion and another attempt to tax internet retail sales.

The economy is improving and the state is running a small budget surplus this year, but Dayton noted that 175,000 Minnesotans remain out of work. The plan he said, flanked by DFL House and Senate leaders, is “targeted toward putting them back to work in Minnesota.”

Dayton and DFL leaders plan to pay for the $35 million price tag of the new-hire tax credits by closing foreign corporation tax loopholes and charging tax on Internet sales.

The governor’s proposals include:
• A $3,000 tax credit for each unemployed Minnesota worker, veteran or recent college graduate hired for a full-time job in 2011 and a $1,500-per-hire tax credit for new hires in the first six months of 2012. The $35 million initiative could fund up to 10,000 new job, the DFL estimates.
• A proposed $775 million bonding bill for new infrastructure projects. It would include $20 million for projects requested by the Department of Employment and Economic Development to help businesses expand in Minnesota.
• $10 million for the Minnesota Investment Fund to attract new businesses to Minnesota. Last year, the DFL claims, the fund helped attract $46 million in private investment and 218 new jobs.
• Internet Sales Tax. Right now, critics say, Minnesota’s brick-and-mortar stores like Best Buy are acting like storefronts for Internet retailers like Amazon.com. Customers come in, browse the merchandise, and then order online. Taxing internet sales – something retailers like Amazon have fought tooth and nail in other states – could raise an estimated $3.5 million in 2013, by DFL estimates.

Republicans have generally rejected the idea of closing tax loopholes, so Dayton's proposal could face tough opposition in the Legislature.


 

ADVERTISEMENT

Connect with twitterConnect with facebookConnect with Google+Connect with PinterestConnect with PinterestConnect with RssfeedConnect with email newsletters

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT