Idaho’s History of Tax Cuts
How could this be true? Don’t tax cuts make it easier on everyone?
Yes, it is counterintuitive to think tax cuts hurt, so let’s explain why. But first, see this page, as it explains why these tax cuts were a total self-inflicted measure.
In government, budgets must be balanced or at least somewhat balanced. The constitution of the state of Idaho requires the legislature pass a balanced budget every year.
When taxes are cut, there is less money for the state to pay for things like roads, public education, public safety, healthcare & social programs.
The people that feel these cuts the most are those already struggling with financial or health issues, or both as they often go together.
The people that benefit the most are the wealthy and big corporations. The wealthy can generally cover whatever financial obstacle in their path. Corporations are seeing tax cuts as well, so their contribution to their communities wellbeing is lessened. The corporation may be stronger but the state will see lower revenues.
So let’s see what the legislators cut to make the budget balance (sort of).
Medicaid provider payments to those who provide services to those with disabilities (adults and children) were cut by about $21.5 million.
Higher ed budgets were cut by 5%, forcing layoffs by universities.
The Idaho LAUNCH program that provided grants for in-demand careers (XXXX) was cut by $10 million.
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