ADVERTISEMENT

ADVERTISEMENT

As others see it: Time to set a price for reciprocity

More than 80,000 contestants will remain in consolation row for another year if Wisconsin and Minnesota can't agree on what the right price is. The two states have yet to agree on how much money Wisconsin owes Minnesota in order to restore tax re...

More than 80,000 contestants will remain in consolation row for another year if Wisconsin and Minnesota can't agree on what the right price is.

The two states have yet to agree on how much money Wisconsin owes Minnesota in order to restore tax reciprocity between the states, through an agreement reached in February. The states have set Oct. 1 the deadline in order for reciprocity to start again Jan. 1. ...

Wisconsin figures it owes Minnesota about $55.6 million. Minnesota pegs the total at $96 million, although Deputy Revenue Commissioner Matt Massman told the Pioneer Press that number is an estimate. ...

Reciprocity simply means that the commuters who work in another state don't have to file income taxes twice and pay income taxes in two states. It was that way for 41 years until 2009, when the states couldn't agree on the timing of the payments and Wisconsin was in arrears.

In true neighborly fashion, Wisconsin has now paid its past due amount. And thanks to the efforts of local representatives on both sides of the river, the states have agreed to work together again.

ADVERTISEMENT

But if the states don't strike an agreement by October, reciprocity will not be restored until January 2014.

Minnesota should be paid every cent it is due, and Wisconsin should be given a full accounting of its invoice. And we hope that revenue officials in both states don't use bureaucratic paper piles as an excuse to put this on the back burner.

What To Read Next
Get Local

ADVERTISEMENT