House Tax Policy Committee Passes Income Tax Rollback

Posted on February 20, 2014 by Dene Westbrook

Yesterday the House Tax Policy Committee reported House Bills 5265, 5266 and 5267, bills that would reduce the state income tax. House Bills 5265-6 would reduce the income tax from 4.25 percent to 4.05 percent. House Bill 5267 would allow additional reductions of 0.1 percent if general fund revenue increased by $300 million or more in the preceding fiscal year.

The League opposes this legislation as we opposed similar legislation in the Senate several weeks ago. There need to be a comprehensive discussion about reinvesting in communities and infrastructure before passing income tax relief.

You can view the League’s letter of opposition here: Tax relief package letter to cmte 2_14

The legislation now goes to the full House for consideration.

Samantha Harkins is the Director of State Affairs for the Michigan Municipal League.  She can be reached at 517-908-0306 or email at [email protected]

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