Community Explainer: Rich Get Richer Under Proposed Tax Plan

by | February 12, 2024

Home 9 Publications 9 Community Explainer: Rich Get Richer Under Proposed Tax Plan ( Page 37 )

February 8, 2024

Main Takeaways

  • Four tax proposals are making their way through the state legislature now, and we anticipate them getting to the Governor’s desk by the end of the month.  These proposals would line the wallets of Wisconsin’s wealthy, who are overwhelmingly white. 
  • These proposals would make it harder to invest in the things our communities need, like good schools, health care, child care, and housing. 
  • Kids Forward has asked Governor Evers and the state legislature to oppose these harmful proposals. Read our full statement to the Governor here.
  • UPDATE: On Friday, March 1, 2024, Governor Evers vetoed three of the below proposals – AB 1020, AB 1021, and AB 1022. Read our full statement here.

What’s the Problem?

To maintain wealth and power, Wisconsin’s wealthiest have rigged the rules for decades. They’ve influenced our legislators to vote in their favor so that they don’t have to pay what they owe in taxes. This has resulted in less money for the investments our communities desperately need. Wisconsin’s wealthiest have also implemented discriminatory housing policies and predatory lending practices which have denied access to homeownership and generational wealth to families of color. 

All the while, they try to pit low- and moderate-income families against each other based on what we look like, so they can hoard the wealth our work helps create and refuse to invest in our communities.

The result?

Economic inequality has exploded over the past 40 years, and Wisconsin’s racial disparities are some of the worst in the country. In the last four decades, the wealthiest 20% of Wisconsinites have seen dramatic growth in their incomes, while everyone else has seen no increase or watched their income decline. 

Tax Proposals

Four tax cut proposals are making their way through the state legislature now. Why are we opposing them?

  1. They would leave the state of Wisconsin financially underwater in the future, meaning even more cuts to the investments our communities desperately need, like good schools, affordable housing, paid leave, health care, and more.
  2. They will disproportionately benefit Wisconsinites that are rich and white. After decades of structural racism, families of color are overrepresented in the lowest income bracket (making $32,400 or less) and would see virtually no benefit from the tax cuts.
  3. They’re moving fast so that communities don’t find out until it’s too late. This isn’t by chance, it’s by design.
  4. They do nothing to address the disparities Wisconsin’s immigrants face. Wisconsin’s economic foundation relies on the hard work of immigrants. Undocumented immigrants work and contribute to Wisconsin’s prosperity, paying $101.1 million in state and local taxes in 2018. Yet, these parents and caregivers are not eligible for the public benefits their investments produce.

Because of this, we’ve asked Governor Evers to veto these tax proposals. Read our statement sent to the Governor’s office and Legislature

Is there any chance of stopping these? 

We’ve won by presenting a united front before, and we can do so again. While these proposals are being pushed by Republicans, if all Democrats and Governor Evers stand against them, they don’t have a chance. 

What can my organization do about it right now?

  1. If your organization lobbies, you can register against them. 
  2. Share this with your colleagues, members, board, and others. 
  3. Calls and emails into your legislators’ offices are useful.

What can individuals do about it right now?

  1. Contact your legislators and tell them why you oppose the tax plan  proposed by Republican leadership. Individuals can find their legislators here – under ‘Who are my legislators’, type in your address.
  2. Contact the Governor and ask him to veto all 4 inequitable tax cut proposals.

What do we do about this long term?

We’d love your feedback on how taxes affect you to help inform our path forward. If you haven’t yet, please take 3 minutes to fill out this survey.

I need more information. Can I talk to someone at Kids Forward? 

Yes! Contact Emily Miota, 262-853-6863, emiota@kidsforward.org.

Emily Miota
Emily Miota
Learn more about Emily.

Join us to build a Wisconsin where every child and family thrives.

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