Effective tax policy avoids enriching select individuals
Effective tax policy avoids enriching select individuals and sectors at the expense of the general public,” Hayes said in a statement . “Instead it spreads the costs and/or benefits of tax policy across the broadest possible segment of the population. But the Governor’s proposed budget fails that very basic test in that it skews tax policy, by choosing lavishing hundreds of millions in financial privileges onto EV producers and to the small and relatively well-to-do segment of the public that can afford to purchase them. This budget spends $318 million on preferential tax cuts on EV purchases , financial favors to those installing EV chargers, and more government spending on a hurried ‘transition’ of public transit and school vehicle fleets away from reliable and proven technologies to electric options.” The proposal would cut the state sales tax on the first $40,000 of an EV, which could save about $2,400 in taxes, Whitmer said on Wednesday.