Madison, WI – State Representative David Steffen (R – Howard) and Senator-elect Rachael Cabral-Guevara (R – Appleton) announced their goal to make retirement tax-free in Wisconsin.
The budget amendment, if taken up by the Joint Committee on Finance or the Governor, would exempt the first $100,000 of retirement income for each individual age 67 or older, and the first $200,000 for married-joint filers.
“The last thing we want is to have Wisconsinites leaving to avoid the tax burden on retirement,” said State Assembly lead author Rep. Steffen. “This proposal is a necessary step towards making Wisconsin the best state in which to live, work, and also retire.”
The Wisconsin Department of Revenue estimates that less than 2% of all tax paying retirees in Wisconsin would still have an individual income tax liability on retirement income under this proposal.
“It’s my honor to fight for Wisconsin retirees,” said Senator-elect Cabral-Guevara. “Our bill will make it financially feasible to remain in Wisconsin after retirement. After paying their fair share of taxes for an entire career, no one should have to eat into their retirement savings just to remain in their home state.”
The proposal has been developed in coordination with Representative Macco (R – Ledgeview) who has played a leadership role in reviewing and vetting tax-related polices as chair of the Assembly Committee on Ways and Means.
“Thanks to prudent fiscal leadership by the Republican legislature the past ten years, Wisconsin finds itself in an enviable position. Exempting retirement income is the first piece of a comprehensive tax reform package that we will introduce this session. I look forward to delivering fair, low, and simple tax reform for all Wisconsinites,” said Rep. Macco (R-Ledgeview).
For more information please contact the offices of the legislators included in this release.