These tax deductions (as well as their counterparts on the Federal side) are often created to help people keep more of their income to pay for things that are needed, like medical care or rent. Some, like the American Opportunities Credit (originally proposed by President Obama) help families afford college tuition & fade out as income surpasses certain levels. This phase out helps concentrate the credit on working families. (Cue the menacing movie music)
Republicans in Wisconsin have pushed a budget provision that allows a tax deduction for private school tuition (K-12) in addition to funding private schools at the expense of public schools. Now Wisconsin is far from a pioneer in offering a tax benefit for private school tuition, but it is pioneering the charge in giving huge tax cuts to the wealthiest while gutting public education & sticking it to the working class.
Eleven other states offer a tax deduction but they are all limited in the amount provided to a level far lower than Wisconsin & most have a requirement that the scholarship goes to low-income students. Rest assured, Wisconsin Republicans won't be followers! They are leaders in sending education off a cliff. The proposed credit offers a $4000 deduction for elementary school kids & $10,000 for high school students. Unlike the American Opportunities Credit, which phases out as income rises, Republicans are offering this to anyone, regardless of how much they make. Should someone making $1,000,000 receive a deduction that amounts to $765 because they choose to send a child to a private high school while these same legislators are gutting public education through the "Act 10 Tools" & funding private school vouchers?
Sure, it's easy to say Republicans have added $150 per pupil in spending to public schools. But make no mistake, this comes on the heels of Republicans slashing spending by $550 per pupil in the last Biennium Budget Campaign Contribution Payback. It comes on the heels of cutting Wisconsin's Homestead Credit, Earned Income Tax Credit, a laughable $2 per week tax cut for working families, a flatter tax system, handouts left & right for big, corporate businesses while using WEDC to make redistricting look transparent & fair by comparison.
Do we need more giveaways to the wealthy? Do we need more money pulled out of our state coffers to fund private schools?
Did I mention that the latest estimates of the budget show a $500 million DEFICIT? So much for fiscal responsibility-it's about rewarding wealthy donors, Anti-Choice groups & self-preservation of politicians.
Koby Schellenger
Winnebago County Democratic Party Chair