Minn., Wis. lawmakers meet to discuss tax reciprocity

Wisconsin and Minnesota state lawmakers will send a joint letter to Govs. Tim Pawlenty and Jim Doyle asking them to save a program that allows residents working in one state but living in the other to file one tax return.

Pawlenty announced last month that Minnesota was canceling the 41-year-old tax reciprocity agreement. The states couldn't agree on a plan for Wisconsin to accelerate its payments to help Minnesota's budget.

About 57,000 Wisconsin residents work in Minnesota while 23,000 Minnesotans work in Wisconsin. Because of the imbalance, Wisconsin sends Minnesota money each year.

About five lawmakers from each state met in Minnesota on Monday to discuss the program. They agreed to send the governors a letter asking them to continue negotiating.

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