Wisconsin lawmakers weigh in on fiscal cliff deal
MILWAUKEE -- The U.S. Senate's fiscal cliff deal prompts a political response from Washington to Wisconsin.
Assembly Speaker Robin Vos says any tax increase is a bad deal for taxpayers.
"If they listen to the people back home, nobody thinks we should be paying higher taxes when we're in the middle of a very bad economy. Unfortunately, this deal is the biggest tax increase in decades, and it's going to have a dampening effect on the economy," said Vos.
The deal in play as of early New Year's Day would allow taxes to increase on affluent Americans; those with household income above $450,000. The deal also temporarily stops the sweeping spending cuts called for under the fiscal cliff plan.
Vos says that delay will hamper Wisconsin's ability to plan a budget.
"We have been panning for if and when the fiscal cliff happens and we have reductions -- here all they've said is we won't have an answer for you until February," said Vos.
"The fiscal cliff was a Republican idea, it's a man-made problem," said Milwaukee County Democratic Party Chair Sachin Chheda. He says the fiscal cliff is the wrong issue to debate. With the country's unemployment rate still near eight percent, Chheda says Congress should focus on the government's role in job creation.
"The real fight in this country has to be over how we're going to get people back to work. Cutting taxes for the wealthy, we've tried it for ten years. These Bush tax cuts have been in effect for ten years, and it hasn't put people back to work," said Chheda.
The middle class isn't completely safe from tax increases in the existing plan. While the Bush tax cuts remain intact, the payroll tax cut will expire. That means, a worker earning $50,000 a year will likely see his or her taxes go up by about $1,000.
Speaker Vos says one of his biggest goals as he leads the next legislative session is a state income tax cut for Wisconsin families.