Walker in downtown Waukesha 
Announces plans for 2018 tax holiday, $100 child tax credit 

By ASHLEY HAYNES - Freeman Staff

Feb. 19, 2018

Gov. Scott Walker, left, talks about tax credits during a stop Friday at Martha Merrell’s Books while state Rep. Scott Allen, R-Waukesha, right, listens.
Abe Van Dyke/Special to The Freeman

WAUKESHA — Gov. Scott Walker announced Friday afternoon at Martha Merrell’s Books & Toys two pieces of proposed legislation he says will help bring money back to Wisconsin taxpayers.

Walker said yet again for this fiscal year, there is a larger than expected surplus. He said the easiest way for the state to send that money back is through a combination of a child tax credit and a sales tax holiday for all Wisconsinites.

“The sales tax holiday, which we work with Assembly leaders on, would be for everyone the first week of August (Aug. 4-5) and is for all retail items off the shelf,” said Walker. “It would be for things you see here. It would be for people like my mom that like to come over here with their granddaughters and look for books.”

Walker says the first week of August is an ideal time for a tax holiday, with the back-to-school season heading into full swing. All items $100 dollars or less would be included. The state would also send back — electronically or through a check, depending on how people sign up — $100 for every child under the age of 18 and living at home.

“For families all across the state, and not just parents but grandparents who help families buy back-to-school supplies, shoes and clothes, this will be that added help that a lot of families need just before school,” said Walker. “We have already provided over $8 billion in across-the-board tax relief since 2011, and now is the time to deliver targeted relief to hardworking families.”

Gov. Scott Walker talks with area residents at Martha Merrell’s Books on Friday afternoon.
Abe Van Dyke/Special to The Freeman

Walker believes that by having this combination of the sales tax holiday and child tax credit for families, the money brought back to taxpayers will then come full circle and make its way back into the economy, so local shops like Martha Merrell’s will entice more buyers.

“Stores across the state I think will see a huge boost in terms of people coming in and spending those dollars,“ said Walker. “That in turn will help build the economy and that in turn will help us build an even bigger surplus moving into next year’s budget.”

Walker says he likes the idea of having a permanent sales tax holiday, which the state of Ohio has recently introduced. The Ohio state Senate just voted last week unanimously to make a permanent sales tax holiday yearly in August, and has actually made money due to a net increase in revenue, he said.

“I think it’s a lesson well learned for us in Wisconsin that we can do this and it will actually pay for itself,” said Walker.

According to the Wisconsin Department of Revenue, the child tax credit rebate is estimated at $122.1 million in fiscal year 2018. DOR also estimates that the one-time sales tax holiday will provide approximately $50 million in tax relief in fiscal year 2019