Warren Mayor Jim Fouts plans to file a lawsuit to overturn Proposal 1, approved by voters in Tuesday’s primary. The ballot initiative eliminates the Personal Property Tax which taxes businesses for equipment that they own, giving Michigan businesses a half billion dollar tax break on top of the $1 billion cut in corporate taxes passed in 2011. Fouts said the […]Read more ›
Tag: Personal Property Tax
By a decisive 69-31% margin, Michigan voters passed Proposition 1, giving businesses a $500 million tax break on top of the $1 billion tax break they were given by Rick Snyder and Republican legislators just after the 2010 election. Proposal 1 eliminates the Personal Property Tax, a tax businesses pay on equipment that they own. According to analysis by the […]Read more ›
I’ve already detailed my reasons for voting NO on Michigan’s Proposal 1 which would eliminate the Personal Property Tax HERE. But there is another reason, in my opinion: Republican threats to screw over municipalities if voters turn it down: The GOP-led Legislature could eliminate the personal property tax with no revenue-replacement plan for local governments, [Truscott Rossman’s Kelly Rossman-McKinney] said. […]Read more ›
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Kicking cities while they’re down
Michigan Republicans passed a budget last year that gives businesses $1.6 billion dollars in tax breaks, paid for by slashing school funding and raising taxes on over half of Michiganders. Now, they are about to hand them another half billion dollars by phasing out the personal property tax (PPT).
It’s generally agreed that the PPT is not a particularly smart tax. It forces companies to pay taxes on equipment that they purchase which has the effect of encouraging them NOT to make capital investments that can help them thrive and grow.
However, here’s the rub: getting rid of it will take nearly half a billion dollars out of city budgets, many of which are largely dependent upon this tax. If you think the problem with bankrupt cities and Emergency Managers is bad now, this will make it worse.
Have a look at this chart from the Michigan Municipal League’s Replace Don’t Erase website…Read more ›
Reporting by the Livingston County Press & Argus shows that Michigan schools will take hit of over a half billion dollars under a new plan by Michigan Republicans to eliminate the state’s Personal Property Tax (PPT). The elimination of a state tax on business furniture and machinery would further cut funding for Michigan’s public schools, state and school officials said. […]Read more ›
As I reported last week, GOP Senate Majority Leader Randy Richardville is out to make Michigan a right to work state, but only for teachers. He said so on Tim Skubick’s “Off the Record”. In an interview with MIRS news service, he went even further, ridiculously saying he doesn’t think teachers realize that Michigan is having economic problems. Senate Majority […]Read more ›