Jason Lewis has a column in the Star Tribune today (Click here) talking about the Department of Revenue's latest biennial Tax Incidence Study. He cites the following facts reported in the study:
Just 10 percent of taxpayers (households with incomes above $129,567) paid 56 percent of all income taxes collected.
But that's not all: They also paid "27 percent of the consumer sales tax, 27.5 percent of the gross homeowner property tax, and 29.5 percent of business taxes," according to the study.
In fact, the top 5 percent of income earners paid almost as much in income taxes as did the bottom 90 percent. Moreover, those in the bottom 20 percent -- far from incurring any income tax liability -- actually received government checks totaling more than $40 million in refundable tax credits.
In other words, it should not be hard to grasp why more spending in the coming biennium is unreasonable and unfeasible. In proposing the highest income tax rate in the nation, Governor Dayton more or less acknowledged that Minnesota's solvency would require no less if it were to shoulder the budgets being proposed by his office and by members of the legislature.