Michigan Senate passes individual, corporate income tax cuts
A bill to lower the Michigan’s income tax rate below 4% passed the state Senate by a party line vote today.
That’s along with another bill the Senate passed that would lower the state’s corporate income tax below 4%.
"We’re negotiating spending some of the money that they’re talking about. And they have proposals that they want actually funded." said Democratic state Senator Curtis Hertel. He’s accusing them of trying to reduce revenue while also asking to fund their own priorities.
"We’re using state resources, state dollars that would be collected, that would be taken from individuals, and seniors and working families and just say, ‘You just get to keep more of what you earned." said Republican state Senator Aric Nesbitt who sponsors the legislation.
Senate Fiscal Agency analysis says the state would need to make up for about $4 billion in lost revenue to avoid having to give some of the federal money back.
Supporters of the bills say their plan helps families and older adults more than any other tax break suggestions put forward including those proposed by Governor Gretchen Whitmer.
The individual income tax bill now heads to the governor’s desk. The corporate tax bill still needs House approval before it can move ahead.