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Minnesota House Omnibus Tax Bill Details And Governor Dayton's Response

03/23/2017 - 10:50 AM

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Minnesota House Republicans released details on their new tax bill Wednesday.

The new bill is aimed at reducing taxes by more than $1.35 billion over the next two years. The largest feature is to reduce state tax on Social Security income.

House Speaker Kurt Daudt says Minnesotans have waited long enough for meaningful tax relief-it’s time for us to give the surplus back to taxpayers who worked so hard to generate it. The bill puts money back in the pockets of seniors, college graduates struggling with student debt, farmers, and Main Street businesses.

The bill will also outline relief for hometown business owners and farmers. It also includes proposes from the tax bill vetoed by Governor Mark Dayton in 2016.

Dayton responded to the bill saying the Speaker’s budget claim is ridiculously misleading. The governor says budget proposals are starting points, not end points, of the budget process. The cigarette tax was limited to one, very socially expensive activity, and was also intended to discourage smoking. And the gas tax is a user’s tax, which charges people who drive the most on our highways, roads, and bridges. MNDOT estimates that a 10 cent per gallon gas tax increase would cost Minnesota drivers an average of $75 a year, which would be entirely dedicated to improving the conditions on which they drive.

The House Tax Committee is expected to hold public hearings on the bill this week.

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