This broke quietly in a Minnesota paper, but it could still make a bit of trouble for Tim Pawlenty in advance of the 2012 GOP primary.
Over the weekend the Star Tribune reported that Pawlenty quietly canceled a 40-year-old tax-reciprocity program with Wisconsin, under which residents of both states who work in the other state file a single tax return.
By nixing the plan, residents of both states will now have to file two returns — one for each state. And for various arcane reasons, Pawlenty’s nixing of the program would generate $131 million to close the Minnesota state government’s multi-billion-dollar budget gap.
But the rub is in the Star Tribune’s conclusion: Roughly 8,000 Minnesotan residents will have to pay $300 more in taxes per year.
Pawlenty has repeatedly pledged not to raise taxes, turning him into an anti-tax hero of sorts. But now he’s nixed a 40-year-old deal between the two states, effectively hitting some of his constituents with a tax hike in order to close the budget gap he’d pledged not to close with higher taxes.
http://theplumline.whorunsgov.com/Baaaad boy T-Paw! They're gonna get you now. You broke one of the 10 commandments: "Thou shall not raise taxes."