I’d like to thank Mr Wolf for reinforcing my point with his informative email. The difference between consumption taxes (as most of the taxes he mentioned ARE consumption taxes) and income taxes is EXACTLY the reason that some STATES don’t even collect income tax!
Consumption taxes are more progressive than income taxes and (in the East Lansing situation) don’t punish “non-residents” for East Lansing’s financial mismanagement and force them to pay for anyone else’s “quality of life”.
So, yes, compare all you’d like… but please make sure that you are comparing apples to apples… and that you’re not “cherry-picking” your facts.
Voting yes is simply forcing others to pay to support East Lansing’s extravagance and poor planning. And that’s not taking responsibility for the situation the city and residents find themselves in..
Sent: Tuesday, July 31, 2018 10:10 PM
Subject: re: re: Smart Development, Cool City, No Income Tax // Christopher WolfPublic Response: re: re: Smart Development, Cool City, No Income Tax // Christopher Wolf
In response to Dave Finet:
As long as we are comparing East Lansing with other Big Ten cities, some research shows that many of them have already thrown their own “tax hail mary” many years ago. A partial list shows residents of these other cities are paying above and beyond what East Lansing residents pay:
Champaign-Urbana: 2.5% sales tax, plus local motor fuel tax, local hotel/motel tax, local packaged liquor tax, local vehicle tax, local food and beverage tax, local recycling tax and local telecommunications tax
Columbus: 2.5% income tax
Minneapolis-St. Paul: .5% sales tax
Bloomington: 1% county income tax
Evanston: 2% sales tax
Lincoln: 1.75% sales tax plus local vehicle tax
Madison: No other local taxes, but reports from Wisconsin indicate that their local property taxes are among the highest in the nation
This is probably not a complete list.
In addition, Minnesota, Iowa, Wisconsin, New Jersey and Nebraska have much higher state income tax rates than Michigan, while Ohio, Illinois and Maryland also exceed Michigan’s rate. I don’t know how the states apportion that money, but there’s a good chance that they share more state revenue with their cities than Michigan does with our low state income tax rate.