President Donald Trump was in Minnesota on Monday on Tax Day, April 15, to highlight the tremendous success of the 2017 Tax Cuts and Jobs Act, which delivered tax cuts to more than 90% of the country and jolted the economy here in Minnesota and across the country.
Unemployment benefit applications nationally hit a 50-year low last week, and Minnesota's unemployment rate has hovered near its record low of 3%. Wages are rising, workers continue to receive raises and benefit bumps, and the labor market remains incredibly competitive for anyone willing to work.
The president's message is simple: Our economy thrives when Minnesotans are able to keep more of their hard-earned money.
Unfortunately, Minnesota Democrats have a much different view.
They fiercely opposed Republican-led tax cuts here on the state level that cut taxes on Social Security, college graduates with student loan debt, farmers, Main Street businesses and more. They predicted doom-and-gloom and claimed that tax cuts would lead to a budget deficit. Minnesota's surplus stands today at about $1 billion.
This session, Democrats in the Minnesota House are planning an all-out tax hike blitz that would hit Minnesota families at every income level. The size and scope of their tax hikes are frankly staggering — if enacted, Democrat tax hikes would take more than $12 billion from Minnesotans over the next four years, making health care, gas and other everyday goods and services more expensive.
While the Democrats' plan for a 20-cent gas tax increase has gotten a lot of attention, it is only a fraction of the tax hikes — nearly $4 billion over four years — they are proposing for a basic priority like roads and bridges. They want an additional increase on tab fees and a huge spike to the metro-area sales tax to pay for billion-dollar trains that won't reduce congestion on our roads.
Despite promises to lower health care costs last fall, Democrats want to raise $2.5 billion in health care taxes by bringing back a tax on nearly every medical visit and procedure — including dental.