Wisconsin Jobs

Shhhhh! Here that sound? Do you know what it is? It is the sound of Wisconsin jobs getting sucked out of Wisconsin and ending up in Florida and Ohio.

Wisconsin has fared well in this recession compared to the rest of the United States but may do much worse in the ensuing economic expansion. Here is why.

Former Governor Thompson (R) wanted high-speed rail in Wisconsin and started the process to make it reality. Later, Governor Doyle (D) liked the idea and continued efforts to bring high-speed rail to Wisconsin. Since the Democrats decided they like the idea, the Republicans changed their mind; they no longer like the idea.

Governor Walker (R) has sent back the $810 million Washington gave to Wisconsin for high-speed rail. Instead, Walker wants to spend $1 billion of Wisconsin taxpayer's money turning a four-lane highway into a six-lane highway between Madison and the Illinois border. Wisconsin is a high tax state and it is about to get higher.

There are pitfalls to slapping Congress in the face for sending you money. Congress needs to cuts spending and you just volunteered. As a result, Congress just dropped a bill that contained a $5 BILLION contract for Marinette Marine. The contract could still be awarded in another bill later, but for now, the funding and Wisconsin jobs, are on hold.

I hate to say it because I love Wisconsin and the people here, but if you need a job, check out Florida or Ohio. The taxes are lower there and they have job creation right now, courtesy of the federal taxes you paid.

I bet the folks in Florida and Ohio don't even send us a Christmas card.

Drinking and Driving Get Tax Break, Tax Court Says

Drinking and driving is illegal. The costs of drinking and driving (DUI ticket, court costs, classes, and increased insurance costs) are not deductible, unless you wrap your truck around a tree.

The Tax Court recently ruled (Rohrs, TC Summ. Op. 2009-190) a drunk driver can deduct his totaled truck as a casualty loss. The Court determined he was not grossly negligent because he had made arrangements to be driven home from the party, but later thought he was OK to drive elsewhere. His blood alcohol level was just over the limit and his insurer denied his claim due to the DUI arrest. The Court granted the deduction because he tried to act reasonably.

The Court would have denied the claim if he drove straight home from the party. They consider that gross negligence.

I hang my head in shame. The Tax Court has taken a position of encouraging drinking and driving. Lower taxes are always better in my opinion, but supporting an illegal act is crazy. Next, the Court will rule that property seized due to drugs will be rewarded with a large tax break. Maybe the Tax Court can hand out free drinks and weed in the last hour before closing time.