Hoping to create more jobs, the Granholm Administration has proposed a 37 percent business tax cut that would produce a tax break for 77 percent of all business in Michigan. The rest would either pay the same as they are now or about 29,000 firms would pay more. The state would not get any additional revenue.
The governor does not how many jobs her package would create or save, but she is convinced that a tax cut will help. The Big Three automakers win under this package. Insurance companies and banks would pay more.
Gov. Granholm warned Republicans in the legislature not to tear her package apart although she added she would listen to them if they had some suggestions.