Wis. Tax Myth #1: Wisconsin is a “tax-and-spend hell.”

Fact: State and local spending and total revenue from taxes and fees are only slightly above average in Wisconsin — and these support a much higher quality of government services than in other states.

• Wisconsin taxpayers pay for services not only through taxes but also through fees and charges — university tuition, car registration, hunting and fishing licenses, etc. When state and local taxes and fees are combined, Wisconsin ranks 14th among all states. When state, local, and federal taxes and fees are combined, Wisconsin ranks 20th.

• Even looking simply at state and local taxes (excluding fees), on a per capita basis Wisconsin’s rank fell from 6th to 11th between 1999 and 2002. Furthermore, Wisconsin chose to address budget shortfalls in 2003 and 2004 by cutting spending rather than raising taxes. Thus, the state and local tax rate ranking has likely dropped below 11th since 2002.

• In 2002, Wisconsin ranked 18th in state and local government spending relative to personal income. If measured on a per capita basis, Wisconsin ranked 16th for spending.

• In terms of spending on government employees, Wisconsin ranked 29th among the states in 2001 for percentage of the workforce in government, and 33rd in public sector employment growth from 1979 to 2001.

More Wisconsin tax myths.