Gov. Tate Reeves and members of the state’s Republican leadership should send President Joe Biden a thank you card as he leaves office. After all, the plans of Reeves and others to eliminate the state income tax, which accounts for about 30% of the state general fund revenue, would not appear nearly as doable if not for the actions of the outgoing president. No doubt, the tremendous cash surpluses that Reeves and other state Republicans cite when defending their plan to eliminate the state’s income tax would not exist if not for the billions of dollars in federal funds that have been pumped into the state during Biden’s presidential tenure. Economists agree that those billions greatly boosted the Mississippi economy, leading to a record spike in state revenue collections. Reeves and other Republican leaders sound an awful like the turtle bragging for being on top of the fence post and not acknowledging he surely had help in reaching that lofty position. The American Rescue Plan Act, which was passed during the Biden presidency, provided $3.5 billion in direct funding to state and local governments and educational entities in Mississippi as a response to the COVID-19 pandemic. That money is still being spent in the state, growing the economy and hence growing state revenue. And that $3.5 billion does not even take into account cash payments made directly to Mississippi people and businesses. It also does not take into account other programs, such as enhanced federal subsidies to help Mississippians purchase health insurance. Further, economic development projects that Reeves and other leaders boast are being built in Mississippi at least in part because of tax incentives offered in Biden’s Inflation Reduction Act. These projects taking advantage of the tax breaks include the manufacturer of electric batteries for commercial vehicles in Marshall County, and the massive data centers planned in Madison and Lauderdale counties coupled with the solar farms that are part of those projects. And even beyond those other listed initiatives, Biden’s historic infrastructure bill will provide Mississippi an estimated $4.4 billion, including $100 million for broadband expansion that Reeves and others often tout. This past summer, House Speaker Jason White hosted a summit to tout his efforts to eliminate the income tax. There, Senate Finance Chair Josh Harkins, R-Flowood, acknowledged that he and other state leaders had help building those cash surpluses just as the turtle had help reaching the top of the fence post. Harkins pointed out that the state, its citizens and businesses received about $33 billion in federal COVID-19 relief funds that have artificially bolstered state revenue. He said time might be needed to look at the financial condition of the state after the impact of those COVID-19 funds had faded. Even recent years of high inflation, which Reeves and other Republican leaders repeatedly blame on Biden, have helped bolster state revenue collections that have led to the record surpluses. Mississippi has a high sales tax, including a high sales tax on groceries. When the cost of a dozen eggs or any other retail items goes up, that results in more sales tax revenue for the state. It doesn’t take a rocket scientist to figure out the 7% sales tax on a dozen eggs costing $4.30 instead of $3 generates more revenue for the state. So if Reeves and other Republicans prevail in eliminating the state income tax this year, they should join hands, face northward, and shout a resounding, “Thanks, Joe Biden!” The post Tate Reeves and other top Mississippi Republicans owe thanks to President Joe Biden appeared first on Mississippi Today.