State Rep. Joseph Fox, R-Fremont, today issued the following statement celebrating expected tax relief for Michiganders after the Legislature advanced tax legislation without blocking an automatic income tax cut or raising taxes:
“Republicans stood firm against every effort that Gov. Whitmer made to prevent a tax cut for all Michigan citizens, and we succeeded. Instead of measly $180 one-time “relief” checks proposed by the governor, each Michigan taxpayer and small business will see permanent, ongoing income tax relief – far surpassing the governor’s offer. Working families and retired seniors struggling the most will see even more relief, due to Republican-led proposals. This tax cut will provide crucial assistance needed to offset the rising costs of living, higher inflation rates, and increasing costs of essentials that has burdened everyone for roughly two years.”
Under current state law, the individual income tax rate is set to be cut from 4.25% to 4.05% 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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