MADISON, Wis. (WTAQ) - Wisconsin’s next state budget is already $2.5 billion in the hole. And the Legislative Fiscal Bureau says the shortfall could grow by another $219 million over the next two years if the federal estate tax is not restored.
Wisconsin’s estate tax has traditionally been linked to the national tax – and the state was collecting hundreds of millions of dollars until the federal tax was phased out over the last decade.
That was part of the Bush tax cuts which are due to expire – and the fiscal bureau assumes that will happen as scheduled. But Jon Peacock of the Wisconsin Council on Children and Families says it’s not a realistic assumption. He says nobody in Congress has been talking about doing that.