State Rep. Cam Cavitt, R-Cheboygan, today issued the following statement celebrating expected tax relief for working families and small businesses after Republicans in the Legislature halted Democrat efforts to take away a much-needed income tax cut:
“Despite a vigorous quest by Gov. Whitmer and Lansing Democrats to upend a 2015 Republican-led law that would trigger a permanent rollback to the income tax if left alone, my colleagues and I stood our ground. Michiganders statewide have been facing financial hardships for roughly two years due to rising inflation rates, costs of living and essentials. Meanwhile, the governor proposed an increase in taxes which would’ve further burdened folks. The ongoing financial relief brought by the permanent income tax cut will far surpass the measly $180 ‘relief’ checks the governor offered tax filers. Working families and retired seniors struggling the most will see even more relief, due to Republican-led proposals. This is a major win for Michiganders.”
Under current state law, the individual income tax rate is set to be cut this year thanks to a law passed in 2015 by Republicans. The law stipulates that when government takes in too much money, an automatic income tax cut is triggered. The Senate advanced a version of House Bill 4001 Tuesday night that will allow the permanent, automatic income tax cut to take effect this spring for Michigan residents and small businesses. Other provisions to increase tax savings for retired seniors and boost the earned income tax credit for working families — policies House Republicans proposed at the start of this year — will take effect next year should the governor sign the bill.
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