From the Legislative Fiscal Bureau, roughly analogous to the Congressional Budget Office, an assessment (p.11) that notes the tax revenue implications of three bills implemented under the current Administration:
Our estimates include the impacts of all law changes enacted in prior years and three of the January 2011 Special Session bills: (a) SS SB 2, which federalizes the treatment of health savings accounts; (b) SS AB 3, which would create an income and franchise tax deduction or credit for businesses that relocate to Wisconsin; and (c) SS AB 7, which would create an income and franchise tax deduction for businesses that increase employment in the state. SS SB 2 has been enacted into law as 2011 Act 1. The other two bills have passed both Houses of the Legislature, and the Governor has indicated that he will sign them. It is estimated that, together, these three bills will reduce general fund tax collections by $55.2 million in 2011-12 and $62.0 million in 2012-13.
This means approximately $117.2 million of any shortfall over the next two fiscal years is a direct consequence of measures that have just been implemented by the current Administration.
More on this from Forbes.
It is of interest to inspect the Legislative Fiscal Bureau’s tabulation of the 2010-11 fiscal year balance.
Source: Legislative Fiscal Bureau (Jan. 31, 2011).