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A "Talk of Minnesota" program, presenting the views of MPR listeners on tax rebate checks. Topics include questions of what should be done with them; should the government have kept the money; should overall taxes be cut; who should get the credit for the nation's biggest tax cut.

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(00:00:11) Good morning, and welcome to midday on Minnesota Public Radio. I'm Gary eichten. Glad you could join us forget about August being the dog days of summer. At least for this year. This August in Minnesota is going to be remembered as the month the rebate check arrived most minnesotans have received a fairly fat check from the state this month their share of the 1.3 billion dollar sales tax rebate approved by the legislature this past spring course, everybody seems to have a suggestion as to what you should do with your rebate check. There are whole advertising supplements in huge ads appearing that have been suggesting ways that we could spend the money on new goodies of one sort or another several churches for their poor part of organized campaigns to try to convince people to donate their rebate checks to various charitable causes and of course Governor, Jesse Ventura has suggested that if you support the idea of a new Pro Sports, M might want to send in your rebate check to help pay for the stadium during this hour of midday would like to discuss the rebate what you plan to do with it spend it save it give it to charity or whether in retrospect. You think the state should have kept the money and used it to meet some unmet needs politically. If you want to talk about politics who should get the credit for this rebate the governor Republicans Democrats, none of the above all of the above. Love to hear from you this hour we're talking about money more specifically that rebate check that has gone out probably is already in your mailbox. Give us a call here six five. One two, two seven six thousand 6512276 thousand if you're calling from outside the Twin Cities 1-800 to for 2:286 512276 thousand or 1-800 to for 22828. What do you plan to do with your rebate check for that matter? What do you think other people? People should do keep it spend it give it to charity. Give us a call. Hope you can join our conversation. Meanwhile a joining us right now is Joe left. Oh the state revenue departments project manager of the sales tax rebate morning. Mr. Left. Oh, good morning. I imagine you're one of the more popular people in the state of Minnesota this month. (00:02:31) It's been quite a difference for me (00:02:36) from obscurity to high-profile popularity absolutely are all the rebate checks out now have they all been set out (00:02:45) for the most part? All the rebate checks are out. We do have a lot of return mail that we're sending back out at this time. When you send out two million pieces of mail, you're bound to get some returned and we expected about 20,000 and lo and behold that's what's been coming back. And so we are turning those back around our message to the public is is that you know, if you know, you moved recently give us a chance. Just to get that mail back out to you when everyone else should have there's (00:03:15) okay. When should people get nervous if they haven't received it yet right now. Is this the time (00:03:20) to to contact you folks? I'd say enjoy the weekend first and then if you haven't seen anything by next week, it's probably time to start thinking about contacting the Department of Revenue, you know, and maybe time to review the eligibility requirements that's been from the calls that I've seen people who haven't got there's typically there's a reason for it. There's the eligibility requirements are that you had to file the 1997 income tax return you couldn't have been a dependent on someone else's return you had that paid at least $1 in tax liability, which is line 7 of that return and then the rebate was based on the amount of income online for compared to the table (00:04:09) now, I know there was some concern That people would throw the checks out when they got them. Have you had any reports back on whether that has been a (00:04:16) problem haven't seen a lot of reports on that yet. I've seen more letters and Collins about the dog ate it the puppy ate it. I've gotten a lot not a lot but several back that have gone through the wash. I get a little piece or a little corner of it. And so but not too many were people threw it out. But you know, if they if they thought they did throw it out and they haven't seen it yet. You know Now's the Time to start contacting the Department of Revenue next week will be a good (00:04:48) time. So they might get a second but they will get a second chance at that if they've actually lost the check-in someone (00:04:53) will do if they thought they lost the check or what have you we'll check to verify that if it wasn't cashed already and if it wasn't cast and we'll stop that check and we'll issue another one to the person. (00:05:07) Now, you said most of the calls you've received? I'm from people who as it turns out weren't eligible for the rebate check in the first place. You have you gotten any complaints that people didn't get as much as they thought they were supposed to get (00:05:26) haven't haven't seen a lot of that actually worked our booth out at the fair yesterday. And I mostly complaints from students who turned out they weren't eligible and we had a few different seniors who came in just questioning how we came up with the amount but most people seem rather satisfied. We saw a lot of happy faces yesterday, (00:05:51) if people want to return some of their rebate check or maybe the whole thing back to the state for some specific program say for affordable housing or whatever. It might be. Can they do that is that (00:06:04) legal? Yes, they can do that actually and it's and in most cases it's tax-deductible what they can do is return. They need a cash their check then send them a personal check to the Department of Revenue and they need along with that check indicate. What cause they wanted to go to it in state (00:06:21) government, and it will actually go to that account then (00:06:25) if as long as they specify it'll actually go to that account now if they don't specify anything, you know, then it's up to us to decide. (00:06:34) Thanks Joe. Appreciate your joining us. No problem, Joe left o who is the state revenue departments project manager of the sales tax rebate. Have you got your check yet? We suspect as mr. Left o indicates probably you've received one. If you're going to get one question, of course is what to do with the money lot of people have suggestions on how you might want to spend your rebate money advertisers. There are folks who suggest you that most of us unless we desperately need the money should be giving it to charity. There's some suggestions that some of it To be returned to the state for various programs Governor. Jesse Ventura has suggested that people who support the pro sports Stadium idea or to send their money over to the Metropolitan sports facilities commission to help pay for stadium in the future. We're interested in what you're planning to do with your rebate check what you think should be done whether you think the program was handled properly. Give us a call here, six five. One two, two seven six thousand 6512276 thousand if you're calling from outside the Twin Cities, you can reach us toll-free and that number would be one eight hundred two four two 28286512276 thousand or one eight hundred two, four two two eight two eight you'll recall there was an interesting discussion during the legislative session. They were talking at one point about having a having a special form, whereby it would list for five special funds that you could designate your They check for and check that off. If you'd like to send your money back to the state that did not ultimately get adopted but as mr. Left, oh and Zack indicates you could still do that. If you wanted to do two million checks were sent out average of $652 Gwen's on the line from Richfield morning Gwen Gwen. Good morning. What are you planning to do with your check? If I may (00:08:34) ask? Yes, we're planning on putting almost the entire amount and Ira. And (00:08:42) what why not just blow it. (00:08:45) Well, we've been doing that with the rest of our money. (00:08:48) What about the thought that well gosh, we should we should give this to charitable (00:08:53) causes. Well, I have considered giving a little bit of it to Jesse Stadium fund and probably a little bit of it will go to the church little bit extra. But other than that, we really need to save for our retirement. Were you (00:09:09) surprised at the size of the check? I was my husband was a little (00:09:13) bit disappointed though. Oh, is that right? He's a little more in touch with what he was expecting then that I (00:09:18) was do you think this is a good way for the state to operate Governor has indicated he'd like this to happen on a every every two years the state kind of settles its books. Is this a good way to for the state to function (00:09:36) personally. I think they should have kept the money for a rainy day, but I'm not complaining about the The money in my pocket back when Governor Carlson had to do a lot of budget cutting he took a lot away from the cities and I would have preferred to have seen a lot of that money go back to the cities because a lot of the cities are really struggling to meet their budgets. (00:09:57) But even now with the check, you still think it would have been a better idea for the state to have used it for some other purpose. Yes, I do. Okay. Thanks Gwen. Thank you. Appreciate it. Love to get your comments on this rebate sales tax rebate what you're thinking about doing with the money whether you think the program was worked out the way you hoped it would whether you plan to be donating it to charity send it off to the governor's Sports Stadium fund, whatever give us a call here, six five. One two, two seven six thousand 6512276 thousand outside the Twin Cities 1-800 to for to to 828 study out. I believe it was this week. Catering that if you take the rebate and add in the permanent tax cuts that were approved minnesotans are looking at the biggest tax cut in the nation this year if on joins us from cloak a good morning, good morning any definite ideas to what you're going to do with that (00:11:01) rebate. Well, I've already done it. I split it with my husband and then I've had to put a new wheel bearing in (00:11:06) my car. Came and went quickly. (00:11:09) Yes very quickly. So I was very happy to have it so that I could pay to have my car fixed. (00:11:16) Were you satisfied with the amount that you received? Was it about what you thought? (00:11:20) Yes. We were very satisfied (00:11:22) in retrospect. Do you wish the state had kept the money and used it to deal with some unmet (00:11:28) need? Nope. Not at all. I loved getting it (00:11:30) back (00:11:33) enjoyed it (00:11:34) thoroughly. I would you like to see that that approach to excess money Surplus money used in the future. (00:11:41) Well, either that or just lower the taxes so that we don't overpay, you know, we do pay a lot in taxes. Yeah. Okay. So either that but I enjoyed it and I'm very (00:11:51) thankful and now it's gone and now it's gone. Yes, but what's your car is healthy? Yes. Thanks. Okay. Thank you. Bye. Bye. Let's move on to another callers who joins us this morning. Good morning Sue. Hi what? No, that's fine. Now what what are you gonna do with the money or what? Have you done with the rebate (00:12:13) check? Well, my husband and I were very dismayed with the vetoes of the governor pinned early spring and cutting some very we thought were very essential very crucial programs. So we are splitting our money and giving it to a couple of programs that were there their program funds were cut and we felt very strongly about (00:12:35) that. These are private organizations. These are nonprofits. (00:12:39) Yes. One of them is a program that helps disabled people move into an independent Lifestyle the governor in his veto said that there was duplication of funds which is naive that is not true. And so we felt very strongly about that. So we are giving half our money there and half our money to another nonprofit. (00:13:00) Do you think this is a good way to operate obviously you would have liked to have seen the state appropriate some money for those causes but an estimate In this case, you are able at least a direct your money to that purpose others were able to use it for whatever they chose to you think that's a good good (00:13:17) approach. No, I don't. I don't think that's a good approach. I think that there are programs that are now going unfunded or now being cut and I think that the state they were on a roll the state was funding them. And now what and I certainly understand people who need the money and see this as a wonderful chance to pay off bills and get cars fixed and all of that kind of thing, but I think for the rest of us, I would have much preferred that the money stay with those programs and keep them (00:13:47) strong. Okay. Thanks to appreciate your comment. Thank you. Let's move on to another caller. If you're just joining us, by the way, what we're doing is talking about the sales tax rebate apparently virtually everybody who's going to get a sales tax check rebate check from the state has received it and so I thought it would be time to find out what it is that you ultimately decided to do with that check Lord knows there are plenty of ads out suggesting that you buy this that or the other thing with your rebate money. There are folks who suggest that you give your money to charity. There's a pro sports Stadium fund that's been set up to take your rebate check. If you're willing to donate it. It's possible for you to send your money back to the state or interested in what you are going to do with that money, six five. One two, two seven six thousand outside the Twin Cities one eight hundred two, four two two eight two eight for that matter. Do you think this whole sales tax rebate approach turned out to be a sound approach Bill, you're next your comments, please. (00:14:54) Well, we're going to we put it in a savings account and we're going to use it to celebrate our 20th anniversary and Greece, but I would have preferred not getting it back at all. I would have preferred that that the government. State government use it to fund programs better including it but not limited to the just building a new stadium. It seems kind of crazy to go through the cost of the bureaucracy to collect it and then also send it back. (00:15:28) Why not instead of going to Greece Bill send your rebate check over to that Pro Sports Stadium fund that the governor is (00:15:35) established. Well, I might I might do that anyway. But that's not what I've done so far I made with they bought they've set it up so we can donate to to build a new stadium. Right but I think keeping professional sports as well as the Minnesota Orchestra and and other things in the Twin Cities is what makes me happy St. Paul different than De Moines or Omaha, you know, that's kind of cool to have such abundance in money's due to the economics of the time and then not meet the the needs that of the state, you know, Arnie Carlson cut the heck out of state budgets for many many years and we could have restored some of those things that that have left improperly find it including education. By the way. Yeah higher education is got (00:16:36) nothing. So you like your check but you'd prefer if the state would have kept it in the first place. Yes. Okay. All right. Thanks Bill. Appreciate it. Let's move on to another caller Terry's on the line from st. Paul. Good (00:16:49) morning. Hi, I guess what my concern is is that first of all, I think it's a wonderful idea. However, there are myself and two other people that I know of that I work with and probably thousands more are not getting their rebates this year because we never filed 97 returns because we weren't required to I didn't know any taxes. I was do a very small refund along with the others that I know about and what happened was in July and August we found out that we had to have our 97 tax return filed by June 15th. We didn't find out about that the public as far as I know didn't find out about that until after the cutoff (00:17:27) date. Well, there was some information out but probably not enough in your (00:17:31) mind. No, I well. I didn't know about it until August. I had to find out by actually going to the The Minnesota State Department of Revenue website. I couldn't find any information out there. Other than their I think that's ridiculous. They didn't they didn't widely widely publicize it and in my mind what that amounts to is the state trying to basically keep what they can you know by not by not really getting out there to the public and getting the papers to post this in the news to post this and say hey folks if you want it. This is what you need to do. There was a lot of confusion even up until July as to whether we were even going to get this or not. I think with the public nobody seemed to know what was going (00:18:11) on. Do you think some some further action should be taken at this point maybe to give you folks a second crack at this before? (00:18:20) Oh well from what I understand from what I've been hearing. It's actually they've actually written it almost into a tax a lot if you will and the legislature would actually have to come around and have that (00:18:30) changed right? Do you think they should do that? (00:18:32) Well, yes, I do. I think that's I think that would be only fair in light of the way it all went (00:18:36) down. Thanks, Terry. Thank you. Appreciate the call by Deborah is up. Next is we talked this our about the sales tax rebate apparently pretty much everyone who is going to get a sales tax rebate check from the state should have received it by now and we thought it would be interesting today to find out what it is that you were planning to do with your rebate. There have been lots of suggestions as to what you might do with your money all the way from donating it to charity to buying a new goodies new cars putting it in a savings account sending it back to the state for that matter to be used on unmet needs. 6512276 thousand is the number to call love to hear from you outside the Twin Cities 1-800 to for 22828 Deborah. What did you decide to do with the rebate (00:19:29) my husband and I decided to donate it to charity for the Turkish earthquake Relief Fund. Is that right? Yes, we felt that. It's found money for us. We have all our bills covered and we have fortune and they have Misfortune. So we're going to I mean, that's the best thing we could do for them right now (00:19:46) now in retrospect do you wish the state had kept the money or are you happy with the with the fact that it was returned to you and then so you could and as it turns out designated for this earthquake (00:19:57) fun. I'm very happy that they returned it. I think it was the best policy they could come up with I think they should do it on a two-year basis because that gives people the power who say I want the government to fund this and I want that sword upon that actually put their money where their mouth is and take action on it if that's what they really (00:20:13) want. Hmm. Okay. Thanks Deborah. You're welcome. Appreciate it. Let's move on to another caller seal joins us from Clearwater. Good morning. Hello. Hi. (00:20:25) I'm a college student and I'm also dependent on my mother my mother's tax returns. So I'm not getting a refund, but I didn't find that out until I listen to your show today and I Really looking forward to this refund to help me pay for college because I pay for it all by myself. And and I think it's really not a good idea to give people who pay taxes. I pay taxes not get our money back, even though we are dependent. Yeah, (00:20:59) do you are going to contact your legislator about that or anything else? (00:21:02) Yeah. Yeah. It's just you know, if somebody pays taxes they should get money back no matter who they are if they have a parent who takes care of them or not. Especially since college students spend so much money on stuff. We paid sales tax. We should get it back. (00:21:22) You were counting on that money. Oh, yeah. Yeah. In general do you think these kinds of programs are good programs assuming they were administered differently. (00:21:36) Yeah, I think it's a good idea to give the money back to the people. You know, if the government has too much money, they're gonna spend it on things that they shouldn't be spending it on like the stadium and stuff. And so if we got it back we could put it where it needs to go. You know, if we really wanted to Stadium then we could pay for it. And if we didn't then we could use it for things like school or to get new cars or pay bills and stuff like (00:22:01) that. Yeah. Okay. Well, good luck. Thank you. (00:22:04) Thanks. (00:22:06) Let's move on to another caller Judy's on the line for Minneapolis. Good morning Judy. Good morning. Have you decided what you're going to do with your rebate (00:22:13) check? It is in a savings account, but I really feel it should not have been given back. I I think it should have gone to programs that are in adequately (00:22:28) funded. What about the the argument that people make that they got the money by they paid it in they get a back and now if they if they choose to spend it on a earthquake Relief Fund or you know education or whatever. It may be they can spend it on that rather than have it spent by the state on something that they perhaps don't support like a stadium (00:22:54) I intend to do that as well. My income is low. So my refund is not as large as some but I know of good friends that who are in churches who have given to particular. Organizations that they feel should have gotten it and I think that's fine. But I think that it is money that that should have been funded at the at the government level. (00:23:30) Would you like to see the state to do this again at some time in the future or just get away from this policy? (00:23:38) Well, it's never been done before so I imagine that they will learn a lot from having done it this time, but I think public opinion in in Wishing the government to be more responsible to those who are in adequately cared for would be my biggest hope with that they would learn from (00:24:02) that. Okay. Thanks Judy. Appreciate your call. We're talking this hour about the sales tax rebate. The checks have gone out this month Revenue Department. Says that most likely if you are going to receive a sales tax rebate from the state of Minnesota. You have already received your check and wait for the weekend if you haven't gotten it and if you don't receive it next week contact the revenue department. Well, meanwhile, of course as the checks have gone out so have the advertising supplements urging us to buy this that or the other thing. So to have the organization suggesting that there are people who could use an extra donation. The governor has set up the pro sports Stadium possible use for your rebate check. We're interested to find out what it is that you're going to do with your check whether you think this program in retrospect was a good program. Give us a call here six five. One two, two seven six thousand 6512276 thousand outside the Twin Cities. You can reach us toll-free. That number would be one eight hundred two four two 2828. Six five one two two seven six thousand or 1-800 to for two two eight two eight and we're going to hear from more of you here in just a couple minutes, Minnesota Public Radio members on September 7th tickets for Six Lives St.Paul broadcasts of A Prairie Home Companion. Go on sale. It's your chance to buy tickets before they're available to the general public come and see Garrison Keillor the guys All-Star shoe band and exciting guests including legendary singer and guitarist Doc Watson the Fairfield for and of course the guys All-Star shoe band and more order by calling Ticketmaster at 6126730404 or stop by the Fitzgerald Theater box office next week, by the way. Hope you can join us over the noon hour today second hour of our program. We're going to hear from activist and author Paul lobe he is out with a new book called soul of a citizen living with conviction in a cynical time. It's a book that profile several fairly Ordinary People. Have managed to significantly change society and he argues that many many more people need to get involved and says it's not unrealistic to think that you could actually make a difference. I can hear from Paul lobe over the noon hour today and hope you can tune in right now. We're going to catch up on some news headlines. Here's got a Cunningham gotta thanks Gary and good morning forecasters. Say hurricane. Dennis is turning out to be a real threat. It's expected to make a direct hit on Northern Bahamas and forecasters are worried. It could get real close to Central Florida and maybe even strike as a major storm at South Carolina hurricane watches are up for a Florida Central Coast. There are hundreds of thousands of more homeless in Turkey than first thought the government in the earthquake ravaged country is acknowledging for the first time that the number of homeless could top half a million people Yugoslavia wants to put President Clinton and other top Western leaders on trial Justice Ministry has issued subpoenas for Clinton Secretary of State Madeleine Albright. It is Tony Blair and a host of other officials. They're all accused of war crimes against civilians during NATO 78 day bombing campaign against Yugoslavia. The trials are apparently an official response by the Yugoslav leadership to warm crime charges against President Slobodan milosevic and his aides in Regional news. Jessica Swanson's mother was back in court this morning a Goodhue County judge ordered Michelle Swanson to get a psychiatric evaluation. She's charged with being an accomplice to her boyfriend Daniel Jensen who had allegedly confessed this week that he killed Jessica in 1995. Both are being held in the Goodhue County Jail authorities are examining the remains of what appears to be a young child. They found Wednesday at the site where they say Jensen told them. He dumped the body (00:27:56) Senator Rod grams has named Washington veteran Gary (00:27:58) Russell as his new Chief of Staff Russell ran the office of Minnesota senator RI boschwitz for nine years Rams fired his Senate Chief of Staff Sam Dawson and his top campaign official consultant Dave Carney in the last two weeks the For Minnesota calls for Sunshine State wide with high temperatures from 80 in the north to near 95 in the far Southwest clear skies in the forecast for tonight with lows near 50 to 60 degrees and for Saturday, mostly sunny Statewide with high temperatures near 75 in the north to 90 in the south at this hour. Mostly sunny skies reported around the region Rochester report sunshine and 77. It's sunny and st. Cloud and 80 Duluth report sunshine and 80 and in the Twin Cities. Mostly sunny skies with a temperature of 83 degrees (00:28:43) Gary. That's a look at the latest (00:28:45) news. All right. Thank you Greta 25 minutes before noon and lots of folks are on the line here with comments on the state's sales tax rebate program apparently virtually all the checks are in the mail. They've gone out already and we thought today would be interesting to find out how people in retrospect. What do you think about that program what you plan to do with the money whether you're going to spend it keep it to save it. Donated to charity whether the state should have launched this program in the first place, six, five. One two, two seven six thousand outside the Twin Cities one eight hundred two, four two two eight two eight Louis your comment, please. (00:29:34) The formula was wrong and this figuring this we're lower-income. I mean, we're seniors we did an extensive. Improvement in our home inside and outside very little covered by Insurance paid a lot and sales tax and obviously it was not in the formulation of this. (00:30:01) If you set aside the way they came up with the program. Do you think it was a good idea to return all this money to (00:30:07) Citizens? I think so, I think a lot of the states in the nation are experiencing the same thing. It's something they apparently couldn't project its money's that people have paid in I think we're also good at spending. Anyways that under sir plan there. Their budget so when I hit something like this, I think it's right that should be returned to the people (00:30:31) but not the way they did (00:30:32) it. No, I think they need a better formula on I think it affects people that aren't in higher up higher income that have sales tax payments as well and it wasn't considered. I don't (00:30:46) think all right. Thank you Lois. I appreciate it. Let's move on to Babu joins us from Minneapolis morning Bob. Hi. What? What are you planning to do with your rebate check? (00:30:57) Well, I'm going to keep it for myself it it was ours in the first place and all this talk about giving it to some cause or the other is Little strange to me. It's not like this is a windfall or some unexpected news source of income for everyone. It was money that was ours in the first place. So why not? Keep it put it in savings or pay off some bills or do something like that (00:31:26) and you have no no time for the argument that the state should have kept the money in the first place. (00:31:33) Well, no, I don't think anyone. I can't imagine the logic behind that argument. It's we get taxed plenty as it is why anymore (00:31:47) so yeah, I guess the theory is that that way the state could address some common problems, you know that that no one person can actually deal with but collectively the theory is that we could we could deal with some some larger problems at the state kept the money. (00:32:06) Yeah, I'm but there's a lot of wasted spending that could be used for that purpose as well. So I think the taxpayers. Shouldn't be taxed anymore. For that (00:32:23) reason right happy with the program. Did you get as much as you thought you were going to get her or was it a little higher or a little lower? Where's your estimate pretty (00:32:33) accurate? Yeah, actually we my wife and I got back a fairly nice some more than I was expecting. So it helped us out nicely. Thanks Bob. Thank you. (00:32:44) Let's move on to Joe who joins us from Glenwood this morning. Good morning, Joe. (00:32:49) Yeah. (00:32:51) What are you gonna do with the rebate? (00:32:52) Well, I'm going to squander it on an airline ticket for a mini vacation in October, but the pleasant thing was sadly I lost my husband recently, but I got his check also because we always filed jointly and that was a nice surprise and I think he'd want me to spend the money foolishly. We we we pay a lot in Texas and Minnesota and I'm not altogether thrilled with the way we do things. And I do think as the previous caller said that we we deserve to have that money. It's our money to begin with but if I wanted to give some away I probably would give some to one of the schools were my grandchildren go because I don't like this idea of these little kids having to go out and sell things in order to have things that they need for their school and education. But other than that enjoy it (00:33:51) I have a good trip. Thank you. Thank you, Joe Carrie's on the line now from Coon Rapids. Good morning, Carrie. (00:33:59) Yes, good (00:33:59) morning your plan for the rebate (00:34:02) check. Well, we were intending a couple purchases we had intended to do I was going to purchase a gun to go hunting with our dog and my wife was going to get some clothes. So as it turns out will end up spending some of that money on those (00:34:15) items. Are you pleased with the program as a (00:34:20) whole? Not really? No, I with the Surplus that we currently have I guess doing the rebates is a good idea though. I don't think long-term. That's a smart idea. I would just as soon have them cut the taxes to ensure that the people who pay taxes actually are the people who get the money back. I'm afraid in the future and next two years that there's going to be a lot of redistribution of those who end up paying the taxes are probably people get less of the money and those who don't pay taxes for the (00:34:49) money. Now, the legislature did pass a fairly significant permanent tax cut to have you noticed that in your paycheck (00:34:57) haven't noticed that in the paycheck yet. I don't think that kicked in yet. Oh, I am pleased that the permanent tax cuts. They've passed on are there. I just wish there was (00:35:05) more. Yeah and the argument that well we don't want to cut taxes too much because then we could get the the state and the financial difficulty of things if you know if the economy goes bad What do you think about that? (00:35:19) Well, if we run into that kind of a problem then they can raise taxes but government spending is is dependent upon projections in the first place. So when they project that there's going to be a shortfall they end up raising taxes. So I don't understand why they can when they project being a surplus cut taxes. Okay. Thanks Kerry. Okay. You're (00:35:39) welcome. All right. Let's move on to Jim. Who's on the line from St. Paul. Good morning, Jim. (00:35:43) Yeah, good morning. You're right. Yeah, your thoughts are well, I my wife and I moved to Minnesota and early Everly 98 moved back to Minnesota actually were Natives and aren't going to see any of it. Even though we've paid in a significant amount of taxes for three quarters of the biennium and received a pretty cool response from our legislators. And we mentioned this to them that the formula even though we've paid in for a lot of money for 3/4 of the biennium. We're going to see any of it. So we're helping subsidize it for everybody else. (00:36:13) Yeah. Well, you know, they argued I think the argument it was that The 97 tax year was the last year that they had complete records for that it wanted to get out an immediate rebate. They had to go with the most complete records They had (00:36:31) but they knew when they put the put the legislation and looked at the deadlines that the tax deadline of April 15th was going to be passed they would have that information in the computers 498 taxes, which would frankly be more accurate because that's the only full year of the biennium that people are paying in for this for this for this actual Surplus. So they actually had the money in the or those figures in the computer system and could have done that in 98. They just chose to do a 97 something they could think about in the future (00:37:01) forgetting about the the fact that you got the short end of the stick here. Do you think in general the Surplus rebate program is a good idea. (00:37:08) Well, I think it's better than cutting taxes when times are good. I have a Great concern with any any of the politicians taking credit for this the Surplus because they frankly have very little to do with it. It's the economy. It's the robustness of the American economy that has everything to do with it. And I think it's pretty different genuis for any of the politicians to be taking credit for for giving money back when they really had nothing to do with it. It was simply the US economy so good right now that the money is there and that's why it's able to be there but I think it's better than kind of taxes with times are good because it's much more difficult to raise taxes when times are bad and you have more people going into programs that need subsidies and and that's when the government gets into big trouble. We saw that in the early 80s we sing that at other times where when the economy goes sour it's pretty tough to raise taxes because that's hard on everybody. So let's I get concerned when I hear, you know, the when the legislature did things with cutting taxes right now and when I hear Congress talking about cutting Right now to I think I think that's a pretty dangerous policy. But I think giving the money back like this is probably a better way of doing it and then to cut taxes. Thanks Jim. Sure. (00:38:29) Appreciate it. Let's move on to call her from Oak Park Heights Jay. Good morning. Good morning rebate check have you gone (00:38:41) furnace and air conditioner? (00:38:43) I see now. (00:38:44) I'm on another one of those at 97 was an unusual year for me. I was in Bosnia with the Army Reserve so my income was tax-exempt, so it was based on my wife's. I work as a sales clerk at a craft store mostly in part of my time that I was working on my masters at the you so I there wasn't a lot of income in 97, but we're spending a lot more because it was hidden (00:39:16) right? Do you think the concept was a good one? Even though it didn't pan out so well for you personally. (00:39:23) Yeah, I mean, you know, somebody has to draw the short stick every once in a while which it wasn't me as (00:39:28) often. Well congratulations. (00:39:34) Yeah. Yeah. (00:39:37) Alright, but (00:39:38) yeah, it's it's very difficult to predict what the economy is going to do. I mean, they're predicting a two-year budget cities do a one-year budget and you know, it's hard to predict what's going to happen next year. You know, I'm working. I work for a city and we're working off our predictions from last. Her as to what the income was going to taxes coming in this year. And so we're middle middle way through our budget. We're already moving things around a little bit because of what's actually happens. So, you know when they guess and they make a guess and put a two-year budget together two years later, they find out they're either way in the hole or way ahead. So you got to do something with it. I don't know that I believe they did keep some of it for the rainy day and they use some of it elsewhere. So I am glad they didn't give it all back because who knows what's going to happen with this economy and the next two (00:40:37) years. All right. Thanks Jay. Yeah. Have a good one. Okay, you two, John's on the line now John. Did you good morning? Good morning. Did you spend your rebate already (00:40:47) spent I'll come and gone come and gone. (00:40:51) Were you pleased with the program as it was administered? (00:40:55) Well, I think so. I think I'm another one of those people that initially said, Know if they didn't give it back. It wouldn't be the end of the world for me, but I wasn't complaining about the fact that they did. (00:41:08) Did you ever give any thought to actually sending it back to the state so that they could use it for you know, whatever program you (00:41:14) designated know. Honestly, we didn't think about that. We decided we had some uses for (00:41:19) it. Hmm. Would you like to see the state continue this approach? (00:41:25) I'm not sure I guess I really am not sure yet. And I just had you know, I still have some questions about you know about the rebate one of them. Is it is it considered taxable income? (00:41:37) Apparently there's been no definitive ruling from the IRS on that but the thought is that it won't be it (00:41:44) won't be because it's based on sales tax. Yes. Okay, I guess that's another common that I had I've talked to you know, there's a lot of discussion about this issue and I've debated this back and forth with with friends and acquaintances and people have said well You know, it's give it back. It's ours to begin with. You know, we've been taxed too much and so it should come back when I think I'm not arguing that we're not taxed too much but I think people are losing sight of the fact that if this is based on sales taxes, it's the result of as I think a previous caller said it's the result of our own spending habits in a very strong economy. And so it's not as though. I mean, I've already heard the argument put that, you know, we've been our taxes have been increased and so they should give it back. And in this case, I don't think it's our taxes and increase the the collection of taxes based on our spending. (00:42:39) All right. Well, thanks John. Thank you. Appreciate the call. We don't have a lot of time left. But if you're just joining us we're talking this our about the sales tax rebate program. Apparently the revenue department says most all of the checks are out. Now. If you're going to get a rebate check, you probably should have received it by now. They say not to panic this. And yet but if you haven't gotten a check in your expecting one by next week, give the revenue department a call. We thought it would be interesting to find out what you were going to do with that money. As you know, there have been well huge ads run suggesting that we buy this that or the other thing with the rebate money there have been suggestions that we should give it to charity. Some people say we should send it back to the state and designate it for specific purposes. The governor has his Pro Sports Stadium fund that he's set up as a possible use for a rebate check like to get your comments in these last few minutes of our midday broadcast 6512276 thousand outside the Twin Cities 1-800 to for 22828 (00:43:41) Ava yes. Yes. I'm in St. Paul. I am responding to this telling you that we are happy to make a contribution with our refund to People Incorporated which deals with some persons who are in really tough times that other organizations aren't meeting. I felt his my husband and I talked over this issue. We felt we would really have rather the state government keep the money and we communicated this to our Senator because we feel that the government is in a position to have an overview of what the needs of all the people are and we think particularly of our schools. We think of the homeless we think of it in terrible number especially of young people who are in prisons and something needs to be done about this. Now when the money comes to individuals of course cash in our hands and we're consumers and we get excited about how we can spend it. But those those needs of the raw sewers are there in it's not a situation for this family or that family to donate to it's it's a problem for all of us. It belongs to all of us to do get in there with our sense of responsibility and take care (00:44:59) of Okay. Well thanks your comment Deva, huh? Appreciate it. Not a lot of time left. But let's see if we can get a few more callers on here before we wrap up genève. Hi there rebate check. Did you spend it a better way? What did you end up deciding to do with (00:45:16) it? Well, what we decided to do with it, we weren't in favor of it in the first place. We thought that I Echo the sentiments of this last Lady and several of the other colors very much a surplus is how people figure it at the legislature. Whoever it is that does the number crunching. However, we are going to use it for our sons College tuition because they've cut back so much on higher education. I feel that it should have been used for the for things like that. And also, you know DNR programs, I grew up up in the northern Minnesota and the conservation officers are just sort of totally swamped up there given an impossible job. You are there many people would like those jobs and that's one thing drug abuse is up all over the place and many people want counseling. They have a three months 10 months late to get into counseling just so many things as it should be used for instead of giving it back. (00:46:17) What about the argument though that you know, everybody has their list of things that they'd like to see the government spend more on in one way or another this way. Well, you can make your own decision with your own (00:46:30) money. Well, you know everybody has to make their own decision on that. That's the I mean I certainly would not put any any any morals way to telling anybody else what they should do. I just think that you know, how are how we are perceived as how we treat the least of us and in our society and we don't do too well in a lot of areas and we had we had some time to do that and 4 times x of a tight economy. There's no money to fix the roof on the Morehead State University Building then when there is money all of a sudden you can't have it because we're going to give it back. I think sometimes it's a real political decision so that the politicians look good. Okay. Thanks. You're welcome (00:47:16) time for one more comment Lynn and I think you get the last word here. Hi Gary quick one. (00:47:23) Well, I'm a small business owner and it was hard for me to pay state taxes to begin with. I didn't necessarily spend a lot in 97 Out fine things so I probably didn't contribute a lot to sales tax per se but those who had the money to spend and buy and have a lot of fun, you know, they were taxed and it was hard. I didn't have a lot of money to spend in that year an excess things. So, you know, I'm getting a little bit back and I'm using it to try to take my small business and get it out of my home and into a office space. (00:47:58) Good luck to you all and thank you the talking with you. We are out of time. Unfortunately like to thank all of you who've been with us this are good conversation about the sales tax rebate program and what people are planning or have already done with their rebate checks again, we should note that it beginning the program. We spoke with Joe left o who is operating this program for the state revenue department. He points out that pretty much everybody who's going to get a check should have gotten it by now wait till next week though to make sure that it doesn't show Blade if you lost your check contact the revenue department and congratulations to everybody who got a check. This is mid. Dad, Minnesota Public Radio.

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