Minnesota’s Economic News — W/E 9/24/21
Labor market Pine Journal: Twin Ports area leads Minnesota with highest annual job growth rate Marshall Radio: MN Adds Jobs In August, Unemployment Drops Hometown Focus: Job growth continues in…
This map, produced by the Tax Foundation, shows the top individual income tax rate for each state. You will note that Minnesota is essentially tied with Oregon for the third-highest rate, at 9.85%. Click to enlarge:
Why are Minnesota’s income taxes so high? It isn’t as though we are getting a break on other taxes. We have a high sales tax (which does, of course, exempt food and clothing), high property taxes and a high corporate income tax. Why can’t Minnesota’s government get along on a reasonable budget like nearly every other state?
When anyone proposes cutting taxes in Minnesota, liberals generally respond that we don’t want to be like Mississippi. But there is no prospect of that. Couldn’t we at least be more like South Dakota, which doesn’t have an income tax at all, and whose economy is booming?
Or how about Washington, Nevada, Texas, Wyoming and Florida? These states, like South Dakota, don’t have a personal income tax. If they don’t need one, why do we? Or how about a 3% rate, like Indiana? What, exactly, are Minnesotans buying for their excessive taxes, other than a depressingly mediocre economy?
Perhaps someday, someone will explain why Minnesotans put up with being overtaxed. At this point, I haven’t a clue.