Trump’s budget rips nearly $3 billion from swing state’s coffers

Systemic Error Podcast · Oct 16, 2026 · 7m

What happened

AlterNet reports that Wisconsin could forgo as much as $2.76 billion in state income-tax revenue from 2028 through 2037 if lawmakers adopt deductions for tipped and overtime income resembling federal policy. Trump’s federal tax law does not itself remove that money from Wisconsin’s treasury; the projected loss depends on a separate state decision.

Forward Analytics, the nonpartisan research arm of the Wisconsin Counties Association, found that benefits would vary by occupation and income source. In its example, a waiter earning $25,000 in wages and $15,000 in tips would save…