Scott Jensen seeks tax cuts to help Minnesotans cope with inflation

ST. PAUL, Minn. — Republican gubernatorial candidate Scott Jensen referred to as Thursday for tax cuts and a clampdown on authorities spending and rules to assist Minnesotans deal with the best inflation charge in 40 years.

Inflation is already dominating election campaigns nationwide. Republicans see it as a potent challenge for making an attempt to construct up their ranks on the Minnesota Capitol and different statehouses throughout the nation, in addition to in Congress.

“We have to put more cash within the pocketbooks and the checkbooks of on a regular basis Minnesotans now,” Jensen mentioned at a information convention.

Democratic Gov. Tim Walz a day earlier renewed his name for legislators to approve one-time tax rebate checks of $1,000 for particular person filers and $2,000 for {couples} to return a part of the state’s remaining $7 billion funds surplus to taxpayers to assist them deal with excessive gasoline and different costs.

That obtained Walz a shout-out Wednesday from President Joe Biden, who referred to as on different state and native governments to take comparable actions as he proposed a federal gasoline tax vacation. However Republican legislative leaders as soon as once more dismissed the rebate proposal as an election-year gimmick and maintained their requires everlasting tax cuts. Possibilities for a particular session to approve any modifications stay dim.

Jensen criticized the governor’s plan as “pandering” as a result of he’d ship checks to all Minnesotans whether or not they paid taxes that contributed to the excess or not. He referred to as for an eventual phase-out of the state’s private earnings tax. He additionally backed a GOP push to eradicate state earnings taxes on Social Safety advantages, that are already exempt for a lot of lower- and middle-income Minnesotans.

Although his plan was quick on specifics on how he’d get there, Jensen mentioned his purpose is to return round $4,000 to $5,000 for each household of 4, and that his plan would possibly embody some form of one-time, up-front cost together with everlasting cuts.

Jensen, a household follow doctor and former state senator from Chaska, has been shifting past the vaccine skepticism and opposition to Walz’s dealing with of the COVID-19 pandemic that helped him safe the GOP endorsement, and has been speaking up public security and economics in latest weeks.

He beforehand proposed suspending the state’s 28.6 cents-per-gallon gasoline tax. Walz hasn’t dominated out a gasoline tax vacation, however the thought did not catch on earlier than the Legislature adjourned its common session final month, and the governor has referred to as his rebate proposal a simpler various.

Governors cannot do a lot to scale back inflation, which is a drawback of the nationwide economic system, however Jensen mentioned the state can assist minimize folks’s prices. He did not have many specifics for the right way to tackle the large gap that eliminating the non-public earnings tax would blow within the state funds. However he mentioned he needs to get that dialog going.

“If we won’t have that dialog, we’re by no means going to resolve the issue with huge, daring concepts,” Jensen mentioned.

Making a “scorching economic system” may assist, Jensen mentioned, together with “dramatically decreasing” state expenditures. Eliminating waste, fraud and abuse may make a “enormous dent,” he added, citing the associated fee overruns with the troubled Southwest Mild Rail mission and state driver’s licensing system as examples, together with fraud that is been uncovered in day care and meals financial institution packages.

“I feel the one manner you get to progressive, efficient options is it’s important to throw every part out on the desk,” mentioned Jensen’s working mate, former Minnesota Viking Matt Birk. And he quipped, “Scott and I each, we each have loads of nice concepts that stink.”