The Budget is Done - Tax Threat Remains

The 2010 budget was finally put to rest late on Friday of last week as the governor signed the last of six remaining budgets. Although the governor line item vetoed an additional $127 million out of the budgets, there was no one veto that was as controversial as the specific school districts veto of the school aid budget. At this point the 2010 budget fight can be viewed as a win for small business in that a number of threatened tax hikes were not tied to passage of the budget. However, the governor and other lawmakers continue to call for more revenue in the form of tax hikes as a follow-up to the budget passage.

NFIB is working to send a clear message to lawmakers that small business will not support a services tax or any other “tax reform” whose primary goal is to increase revenue to the state so that needed structural spending reforms can be avoided. We insist that substantive structural spending reforms be put into place before any talk of tax reform can take place.