So while Michigan’s right-wing flank in the state Senate is voting to rescind a slight wage increase for state workers (who have already taken concessions on benefits and unpaid furlough days), they’re conveniently forgetting about the tens of billions of dollars in corporate tax loopholes that flood out of Michigan’s coffers every year.
Last year, it was $35.8 billion.
While the “Say NO!” Senate, led by Senate Majority Leader Mike Bishop, is targeting schools, revenue sharing and public employees, they’re ignoring special interests and corporations.
Our friends over at A Better Michigan Future this morning launched their “Loophole of the Week,” highlighting a different obsolete tax loophole that should be closed so the money can be spent on Michigan’s budget priorities like schools and public safety.
The first loophole? A $37 million annual break for satellite dish companies.
I know, right? But, back in the 1970s when the loophole was enacted, broadcast television was the dominant provider of hits like “Bonanza.” (Or whatever people watched in the 1970s.) So our state Legislature approved a measure exempting satellite dish companies from sales tax to spur a little competition.
Now, however, it’s clear that the “leg up” for satellite dish companies isn’t really necessary.
So we should close it, right? Good plan. Great plan, as a matter of fact. You and I aren’t the only ones who feel that way, either. The state House Appropriations Committee is currently reviewing legislation that would begin the process of closing loopholes and shifting that money to better uses, such as staving off more cuts to revenue sharing for cities and townships.
Per usual, it’s great to send our lawmakers a reminder and let them know that we would prefer they look to the billions of dollars in corporate tax loopholes for additional revenue instead of to state employees, education and public safety. You can do that by visiting our friends over at A Better Michigan Future.