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Would a flat tax lead to most Wisconsinites having to pay more taxes?

By Jacob Alabab-Moser
YES

If enacted in Wisconsin, a "revenue-neutral" flat income tax of 5.22% would bring tax increases for the 96.6% of Wisconsin taxpayers with adjusted gross incomes between $20,000 and $300,000, according to a group of over two dozen economists. 

More specifically, 72.5% of all filers would experience an average tax increase of $249, according to estimates from the nonpartisan Legislative Fiscal Bureau. Currently, income tax rates in the state range from 3.54% for couples earning up to $17,010 a year to 7.65% for couples earning more than $374,600 annually. 

In a letter, the group of economists warned a flat tax "would increase taxes on the middle class and working poor while handing the very rich a handsome tax cut."

Republican gubernatorial candidate Tim Michels said in October 2022 that he is open to a flat tax, but not if it would raise taxes for the lowest income Wisconsinites. 

This fact brief is responsive to conversations such as this one.
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Wisconsin Watch, the news arm of the nonpartisan, nonprofit Wisconsin Center for Investigative Journalism, increases the quality and quantity of investigative reporting in Wisconsin, while training current and future investigative journalists. Its work fosters an informed citizenry and strengthens democracy.
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