taxes

Economy
5:02 pm
Mon June 2, 2014

Report finds tax cuts have not been helping Michigan's economy

IRS Form 1040.
Credit stockphotosforfree.com

Michigan has been cutting taxes for the past 20 years. The key selling point has been that slashing taxes will create economic prosperity.

A new report by the former head of the state Treasury Department's Office of Revenue and Tax Analysis, Douglas Drake, says these tax cuts have instead drained Michigan of economic life, with our per-capita income rank tumbling, and our unemployment rate way above the national average.

Charles Ballard is an economist from Michigan State University.

*Listen to the full show above.

Opinion
10:20 am
Wed May 21, 2014

Just fix the damn roads

I think the low point in my faith in democracy came late this winter, soon after I had lost one tire to a pothole. I got home after nearly losing another on the lunar surface of a suburban Detroit mile road, just in time to hear a state senator claiming we needed another tax cut.

Well, I thought, I am now living in a Third World country. But guess what? That senator heard from his constituents, big-time. Before long, he was retreating from his tax-cut talk, legislative tail between his legs. Why?

To quote the leader of his caucus, Senate Majority Leader Randy Richardville R- Monroe, “I’ve heard the message loud and clear that the roads are messed up, and I think the most common phrase I’m hearing from back home is 'just fix the damn roads.'"

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Politics & Government
3:12 pm
Mon May 19, 2014

Poll shows strong support for raising taxes to pay for repairing Michigan roads

More than two-thirds of those polled said they would be willing to pay $10 a month more for gasoline, if it meant more money to fix Michigan’s roads.
Credit Steve Carmody / Michigan Radio

A proposal to greatly increase Michigan’s gas tax goes before a state Senate committee tomorrow.

The proposal has already cleared the state House. Among other things, it calls for taxing fuel based on price, instead of volume. It would generate about $500 million in new tax revenue. That's about a third of what Gov. Rick Snyder and others say is needed to fix the roads.  

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Politics & Government
10:15 am
Sun May 18, 2014

Michigan Senate eyes bigger gasoline tax increase

The talk of pumping more money into transportation infrastructure comes on the heels of a House vote to gradually allow Michigan's 19-cents-a-gallon gas tax to go as high as 32 1/2 cents over time.
Credit Steve Carmody / Michigan Radio

LANSING, Mich. (AP) - Michigan senators are considering whether to significantly increase gasoline taxes over five years to mend roads and bridges.

The talk of pumping more money into transportation infrastructure comes on the heels of a House vote to gradually allow Michigan's 19-cents-a-gallon gas tax to go as high as 32 1/2 cents over time.

It would initially generate $450 million a year, mostly by diverting money from elsewhere in the budget.

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Opinion
9:27 am
Thu May 8, 2014

For 20 years Michigan has cut taxes with little to show for it

Every society functions at least partly on a set of myths. Sometimes these have been highly destructive. For example, believing you are the master race and everyone else deserves to be slaves has potentially destructive consequences.

America has largely operated on good myths, good because most of them had some grain of truth.

For example, the theories that all men are created equal, or that anyone can become rich or succeed at any occupation they choose. Those ideas have, by and large, encouraged hard work and a belief in the future.

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Politics & Culture
4:03 pm
Mon April 14, 2014

Stateside for Monday, April 14, 2014

Today, Gov. Rick Snyder rolled out a new statewide recycling plan that aims to increase recycling across the state. Michigan is seventh among the eight Great Lakes states in its recycling performance, and the governor as well as recycling activists agree that we can do a lot better. 

The intersection of college athletics and college academics often causes controversy. To what degree are student athletes allowed to get away with lighter class loads in order for them to play? Paul Barrett of Bloomberg Businessweek joined us to answer that very question.

Tax day is tomorrow and procrastinators out there are scrambling to file. Detroit News Finance Editor Brian O'Connor joined us to explain how we can decrease our chances of being audited. 

On the West Coast during World War II, hundreds of thousands of Japanese-Americans were put in internment camps. Matt Faulkner, an author and illustrator for kids, tells the story of these internments in his most recent graphic novel, Gaijin. 

Economy
3:46 pm
Mon April 14, 2014

How to decrease your audit odds

It's that time of the year again: tax time is upon us.
Credit levistaxes.com

It's here, or at least it's almost here: Tax day is tomorrow, April 15. 

You procrastinators are likely waiting until the proverbial 11th hour to file. Others may be already opening the envelope with their refund check. 

But lurking in the back of many minds is that nagging question: Will I get audited? 

In actuality, your likelihood of being audited is pretty low, about one in 100, although as your income increases, so do your odds. 

Let's find out how to decrease your chances of being audited, and the dos and don'ts if the IRS decides to take a closer look at your tax return.

Today we're joined by Detroit News Finance Editor Brian O'Connor. 

Listen to the full interview above.

Politics & Government
3:27 pm
Sat March 29, 2014

Gov. Snyder signs bills so Michigan cities don't lose revenue

The bipartisan legislation Gov. Rick Snyder signed Friday incorporates a recent deal worked out among his administration, municipalities and business leaders to fully reimburse cities for their lost personal property tax revenue with other state revenue.
Steve Carmody Michigan Radio

LANSING, Mich. (AP) - Michigan Governor Rick Snyder has signed legislation designed to ensure local government budgets aren't hurt if manufacturers and small businesses get planned tax cuts.

A phase-out of taxes on industrial machinery starts in 2016 and is underway for small businesses with equipment. The tax cuts will be halted if a statewide vote fails in August.

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Families & Community
1:37 pm
Mon March 3, 2014

State of Opportunity has a new project and needs your tax stories

Credit R. Kurtz / flickr

We're getting ready for a new project here at State of Opportunity, and we're excited about it.

We'll take the experiences of families in towns and cities around the state and turn them into useful news – the kind of news that usually travels between two people when they talk about the way things really work.

Part of what makes this project work are stories and insights from you and the people you know. 

Right now, we're looking for stories about taxes.

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Opinion
10:33 am
Fri February 28, 2014

If Michigan legislators cared, they would end their tax hike on the poor

In an apparent attempt to pander to voters, the Michigan Legislature is rushing to pass an election year income tax cut. This is a little baffling, because the voters don’t want one.

The state has a budget surplus – on paper, anyway – of a little less than a billion dollars. Two weeks ago, an EPIC-MRA poll found only 11% of the voters thought a tax cut was a good idea. The rest were divided about evenly between those who wanted it to go to schools and those who want it to go to our roads.

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Politics & Government
2:43 pm
Sat January 18, 2014

Snyder: Michigan pension tax will stand despite surplus

Gov. Rick Snyder (R-MI) (file photo)
Steve Carmody/Michigan Radio

DETROIT (AP) - Gov. Rick Snyder says he won't reconsider a controversial tax on income of certain Michigan retirees.

Michigan has a large budget surplus, but Snyder tells The Detroit News that revisiting the 2012 tax is not on his radar. He calls it an issue of fairness, saying pensions shouldn't be treated differently for tax purposes than other retirement income.

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Politics & Government
10:37 am
Wed October 2, 2013

Fees set to increase for Michigan birth, death, marriage records

user The Geary's Flickr

If you need a vital record in Michigan, you'll likely pay more.

MLive's Jonathan Oosting reports a bill recently passed by the state Senate now heads to Gov. Snyder's desk:

Under House Bill 4786, the basic fee for a vital record search will rise from $26 to $34, while an authenticated copy of a birth, death, marriage or divorce record will rise from $29 to $42. Creation of new birth or death certificate will rise from $40 to $50.

Recent budgets for the Department of Community Health have assumed $5.5 million a year in vital records collections, but according to the Senate Fiscal Agency, revenues have come up short in recent years, leaving a $1.5 million structural deficit that the increased fees are designed to remedy.

Politics & Government
3:54 pm
Tue October 1, 2013

Fiscal health of local goverments gradually improving, but many still in bad straits

Percentage of jurisdictions overall reporting they are better or less able to meet their fiscal needs in current year compared to previous year, 2009-2013.
Center for Local, State, and Urban Policy UM's Ford School of Public Policy

Michigan's cities, towns, and villages are seeing an overall improvement in their ability to meet their financial needs, but hundreds continue to struggle. That's according to an annual report by the Center for Local, State, and Urban Policy at the University of Michigan's Ford School of Public Policy.

The report finds that smaller municipalities are having a tougher time than those with populations of more than 30,000. And municipalities in central Michigan and the southern lower Peninsula have been particularly hard hit.

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Politics & Government
4:24 pm
Thu August 15, 2013

Weekly Political Roundup: Rough road ahead for transportion funding

Wikimedia Commons

Each week we take a look at Michigan politics with Ken Sikkema, former Senate Majority Leader and Senior Policy Fellow at Public Sector Consultants, and Susan Demas, columnist for MLIVE.com.

Governor Snyder has been calling for increased funding for Michigan roads to the tune of $1.2 billion a year. This is one of the items he has not gotten a lot of traction on so far from lawmakers on either side of the political aisle.

According to Sikkema, the last time Michigan increased fees and a tax for transportation funding was back in 1997.

"The reason we keep going back to this sales tax issue is because Michigan is relatively unique. It has a sales tax on top of its state and federal gas tax and that sales tax doesn't go to roads it goes to schools and revenue sharing. There are only about three or four states in the country where all the taxes at the pump don't go to roads. Michigan is one of them," he said.

Are better roads, better for business?

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Opinion
8:44 am
Fri August 2, 2013

Medicaid expansion does not equal government expansion

Lessenberry commentary for 8/2/2013

Yesterday I talked about Washington’s offer to expand Medicaid to many Michiganders who currently have no health insurance. The government has offered to make the program available to many poor, but not officially poverty-stricken, Americans.

States who participate will pay only a fraction of the cost. This would immediately provide health care to hundreds of thousands who don’t now have it, and be extremely beneficial to virtually everyone, including employers, who would have a healthier work force.

Though some states sensibly ratified this almost immediately, Michigan has dragged its feet, largely because of bitter ideological opposition to anything that seems to be “government” health care. I said yesterday that this was irrational and was harming our state.

But while I heard from many people who agreed, not everybody did. One woman said I just didn’t understand that this would be terrible because it would be an expansion of government. In fact, the Tea Party has denounced more Medicaid as tyranny.

Well, I think that’s nonsense; I don’t think extending an already existing benefit to more people is expanding government.

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Politics & Government
10:17 am
Wed July 17, 2013

Legislation would allow petition campaigns to cap public employee benefits

Leon Drolet
Wikipedia

There’s legislation pending in Lansing that would allow voters to amend local charters to cap public employee compensation and benefits.

Courts have held that local initiatives don’t trump collective bargaining rights.

Former state Representative Leon Drolet heads the Michigan Taxpayers Alliance. He says the legislation is an effort to get around that, to let voters run ballot drives and amend city charters.

“There would still be a collective bargaining process,” Drolet explained. “They would still set benefit levels, but there would be a cap on what the city could agree to, and what could be part of that negotiating process. Right now, there’s no cap.”

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11:32 am
Tue July 16, 2013

When it comes to the federal pool of money, Michigan is a giver, not a taker

Lead in text: 
Michigan is a net giver when it comes to dollars leaving the state in federal taxes. According to the Economist, from 1990 to 2009, $1.23 trillion went out of the state in federal taxes, while $1.03 trillion in federal spending came into the state during that time frame.
  • Source: Economist
  • | Via: Michael Olson - American Public Media
Where federal taxes are raised and spentSOME American states receive more in federal spending than they pay in federal taxes; others receive less. Over twenty years...
Politics & Government
2:00 pm
Wed July 10, 2013

How a change in immigration laws could give Michigan an economic boost

A protest for immigration reform
user: Boss Tweed Flickr

Michigan could get a boost in new tax revenues if the federal government approves proposed changes to immigration laws.

That’s according to a new report.  

The Institute on Taxation and Economic Policy predicts Michigan could gain $35 million dollars a year in new sales, property and income tax revenues, under the immigration changes.

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Business
5:01 pm
Tue April 30, 2013

Michigan lawmakers look for ways of closing the online sales tax loophole

psmag.com

Michigan lawmakers are looking at how to get online retailers to collect state sales taxes.

Currently, shoppers are supposed to report any sales taxes they owe on online purchases, and pay them with their income tax.

But most people don’t.

State Representative Eileen Kowall’s bill would put the responsibility on the online retailer.   She’s quick to say this is not a tax increase, just making sure that the taxes that are owed are being paid.

Kowall says the current system puts Michigan’s ‘bricks and mortar’ retailers at an unfair disadvantage.

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Politics & Government
8:26 pm
Mon April 15, 2013

Democrats call for repealing some state taxes

House Democratic Leader Tim Greimel
Official portrait

State House Democrats spent “tax day” pushing a plan to repeal several state tax policies.
 

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