As a lifelong entrepreneur and nationally recognized expert on quality and operational efficiency, Perry Johnson believes Michigan families, not Lansing bureaucrats, know best how to spend their hard-earned money. His plan to eliminate the Michigan income tax will return an estimated $4,747 per year to the average family of four, empowering families to invest in their homes, education, businesses, and retirement.
Michigan currently imposes a flat income tax rate that pulls billions of dollars annually out of the private economy. Perry Johnson’s plan will phase out and ultimately eliminate the state income tax – without raising other taxes – by aggressively cutting waste, fraud, and inefficiency in state government.
The Core Principles
1. Efficiency Before Taxation
Government must operate with the same discipline and accountability as a successful business. Before asking taxpayers for another dollar, Lansing must prove it is managing current dollars wisely.
2. Zero-Based Budgeting
Every department will justify every dollar of spending annually. No more automatic increases. No more blank checks.
3. Results-Driven Accountability
Agencies that fail to deliver measurable outcomes will face restructuring or elimination.
4. Mandatory Audits of Every Department
Perry Johnson will implement mandatory annual financial and performance audits for every state department and major program.
- Independent financial audits conducted annually and published transparently.
- Performance audits to measure outcomes, not just spending.
- Fraud-risk scoring systems for high-risk departments such as unemployment insurance and procurement.
- Corrective action deadlines for failed programs.
- Automatic sunset reviews for programs that cannot justify their results.
If a department cannot demonstrate measurable value to taxpayers, it will be restructured, competitively bid, consolidated, or eliminated.
How Perry Johnson Will Pay for Income Tax Elimination
1. Eliminate Wasteful and Politically Driven Spending
- Amtrak Subsidies and Rail Boondoggles: Michigan taxpayers have funded rail subsidies with questionable returns. Programs will be reviewed and reduced or eliminated where waste is identified.
- Failed Technology Projects: The botched Secretary of State website rollout wasted taxpayer dollars and created chaos for residents. Johnson will impose strict private-sector project management standards to prevent overruns and failures.
2. Crack Down on Fraud and Abuse
- Unemployment Insurance Reform: Michigan’s unemployment insurance system failures cost taxpayers billions. Johnson will implement real-time fraud detection, strengthen identity verification, and hold administrators accountable.
- Strengthened Inspector General Authority: Expanded investigative powers to aggressively root out fraud across all departments.
3. Streamline State Government Payroll
- Hiring Freeze for Non-Essential Positions and reduction through natural attrition.
- Performance-Based Compensation Models.
Consolidation of duplicative administrative functions across departments.
4. Two Cents
- Cutting two cents out of every dollar of discretionary spending.
Make Michigan a Magnet for Families and Employers
Eliminating the income tax sends a powerful national signal: Michigan is open for opportunity.
States such as Texas, Florida, Tennessee, and Nevada have become destinations for families and employers seeking lower tax burdens and pro-growth environments. Perry Johnson believes Michigan can compete – and win – by combining tax relief with fiscal discipline.
Michigan already offers tremendous assets:
- World-class freshwater resources
- Manufacturing and engineering expertise
- Affordable housing relative to many coastal states
- Access to global trade routes
By eliminating the income tax and enforcing strict fiscal accountability, Michigan can attract:
- Remote workers and entrepreneurs
- Manufacturers and technology firms
- Young families seeking affordability
- Retirees looking to stretch their savings
Population growth strengthens the tax base, increases property values, expands job opportunities, and drives long-term economic stability – without raising taxes.
The Michigan Comeback
Perry Johnson’s plan is straightforward:
- Audit everything.
- Eliminate waste.
- Cut two cents off every discretionary dollar.
- Reform broken systems.
- Return money to families.
Through mandatory department audits, zero-based budgeting, fraud prevention, payroll discipline, and economic development reform, Michigan can responsibly eliminate the state income tax while maintaining essential services.
This is not just tax reform – it is government reform.
It is time for Michigan families to Keep Their Money and Live Their Dreams.
