Finding Our Balance: Taxes, Spending and Minnesota Competitiveness

March 5, 2013 at 11:13 am

Analysis of 10 national competitiveness studies offers perspective on striking a balance between public investments and business costs.
Press Release
Executive Summary

St. Paul Pioneer Press Editorial on the “Finding Our Balance” Analysis
The Minnesota Center for Fiscal Excellence has some good advice for lawmakers as they work to find the “sweet spot”–if there is such a thing–in balancing taxing and spending.

  • On giving homeowners a $500 rebate on their property taxes: The proposed use of more than $2 billion in new tax revenue – significantly funded by business taxes to finance $1.4 billion in rebates – fails to demonstrate a value proposition to business.
  • On the proposed sales tax on business to business services: Findings suggest the deep concerns expressed by businesses over the competitive impacts of enacting this policy are not hyperbole.
  • If Minnesota expects businesses to continue to accept higher tax burdens than imposed elsewhere, it is imperative the returns on that spending be greater than elsewhere as well. The value proposition must be clear and tangible.

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From NAIOP Corporate – Working Hard on Your Behalf : Energy Efficiency A Closer Look at “Plan A”

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