MADISON, WI -- State Rep. Dave Armstrong (R-Rice Lake) joined his Assembly Republican colleagues in voting for the “Returning Your Surplus” legislative package, which cuts taxes for Wisconsin’s middle class and retirees and requires legislative supermajorities to increase state tax rates.
“Governor Evers’ decision to veto a middle-class tax cut in the budget was an insult to Wisconsin families,” Representative Armstrong said. “Unlike the Governor, Assembly Republicans believe that Wisconsin taxpayers know best how to spend their money.”
Assembly Bill 386 cuts the individual income tax rate in the third tax bracket from 5.3% to 4.4%. The third tax bracket covers households making between $36,840 and $405,550 and includes the annual Wisconsin household income of $67,000. The average filer will see a decrease of $772 each year. AB 386 also exempts up to $150,000 in retirement income, which is good news for Wisconsin seniors.
The “Returning Your Surplus” package also includes Assembly Joint Resolution 66, a proposed amendment to the Wisconsin Constitution that requires supermajorities in the Assembly and Senate in order to increase state sales tax or income tax rates.
“The Legislature shouldn’t be able to raise your taxes on a whim,” Representative Armstrong said. “This constitutional amendment would require a broad consensus that an increase is necessary before dipping into taxpayers’ wallets.”
Besides the “Returning Your Surplus” package, the Legislature voted to increase oversight of the spending of federal funds. Assembly Joint Resolution 6, another proposed constitutional amendment, would end the free rein Wisconsin governors currently enjoy to accept and spend federal funds without legislative approval.
“Years after billions in federal COVID and ARPA money flooded Wisconsin, legislators – and the general public – still don’t know what Governor Evers has done with all of it,” Representative Armstrong said. “Whether the Governor is a Democrat or a Republican, this amendment will ensure accountability.”
AB 386, AJR 66, and AJR 6 will now go to the Senate for further consideration.