Chicks on the Right
Holcomb Administration Pushes $1 Billion Tax Hike for Unemployment Fund
Indiana Governor Eric Holcomb and his administration is considering a push for a $1 billion business tax increase to provide boost the state's unemployment trust fund.
Yes, $1 BILLION DOLLARS... Riiiight.
A report from the Associated Press notes that although the administration does not have an active proposal as no action was taken on its plan during this year's legislative session, officials say talks on how to raise money for the fund are expected ahead of the 2020 legislative session.
"Why in this market would the unemployment trust fund need funding?"
"And why does it have to be $1 billion dollars?"
"And why does it have to be a business tax?"
"I feel like we've been through this before and the Governor is rather fond of hiking taxes for emergencies, non-emergencies, semi-emergencies, semi-NON-emergencies. #StopTaxingMe!"
If a formal proposal is put forth in the 2020 legislative session, the projected 17% increase would bring premiums paid by companies to a level recommended by the federal government, according to the Journal Gazette.
Key business groups, however, say lawmakers must weigh the impact of raising premiums against socking money away in the fund, which is used to pay unemployment checks when the jobless rate is high.
"How much money do you take out of the economy and just have it sitting on the sidelines when that money could be invested and creating jobs?" asked Brian Burton, president and CEO of the Indiana Manufacturers Association said, according to the IBJ. "It's a fine balance."
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