Benefits paid to unemployed workers will have to be cut and taxes on struggling businesses will have to go up to pay for a staggering number of claims due to the recession, Wisconsin lawmakers were told Wednesday.
Won't happen until 2011 or 2012.
The amount of wages that could be taxed went up this year and is scheduled to go up again in 2011 and 2013. Overall tax rates also increased in 2010 and businesses will be subject to a special assessment starting in 2011 to begin paying off the interest on the money borrowed from the federal government, the advisory council letter to lawmakers said.
The assumption that 'taxes will go up' is based on another assumption: that the next Administration will continue the usual wasteful spending.
Don't bet on that.