More than 1,000 demonstrators are rallying in Lansing today to protest Michigan Gov. Rick Snyder’s budget plan, the AP reports. The rally was largely comprised of retirees angry over the proposed elimination of personal tax breaks that benefit Michigan’s seniors. Snyder’s budget plan would end the state’s income tax exemption for pensions and eliminate the state’s Earned Income Tax Credit, which gives low-income residents money for working rather than being on welfare.
The increases would generate $1.67 billion in new income tax revenue. Snyder would use this to offset an 86% business tax cut, which he argues will lead to job creation and increased economic competitiveness.
Today’s rally kicks off a week of demonstrations across the state, The Michigan Messenger reports. State unions plan to protest at the Capitol Wednesday against Snyder’s budget proposals and other legislation they say will undermine collective bargaining rights.
Snyder maintains that his $45.9 billion budget proposal represents a “shared sacrifice,” necessary to close Michigan’s projected $1.4 billion deficit. His plan also includes cutting school funding by up to 10% and ending revenue sharing with local governments.
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