Income, Property, & Main Street Tax Cuts
Last night, the Joint Finance Committee (JFC) completed its work on the budget with $3.4 BILLION in historic, broad-based tax relief. In one night, JFC voted to cut income, property, and main street taxes.
Almost $2.5 billion in income tax relief will be delivered to anyone with incomes over $24,000/$32,000 per year (individual/joint) most working adults. The typical working family will see an income tax cut of $900 this year, by reducing the income tax rate from 6.27% to 5.3%.
Republicans didn’t forget the property taxpayer, either. Under the budget passed by the JFC, property taxes will decrease on a typical family home by around $300. This objective is completed by the state funding approximately 68% of state school aid costs, a historic investment.
Finally, JFC eliminated the personal property tax, while making sure that other property taxes do not make up the difference. Among our neighboring states, only Michigan still collects a personal property tax. This tax has long been a thorn in the side of small businesses, who frequently pay more in accounting fees for the personal property tax than they pay in the actual personal property tax.
Flattening our income tax, lowering property taxes, and eliminating the personal property tax is a great way to finish out the budget.
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