LANSING, MI (WKZO AM/FM) – Just ahead of the Governor’s State of the State address, the Michigan Senate Finance Committee Wednesday approved legislation to reduce state income tax rates and encourage economic growth across Michigan, renewing Republican tax relief efforts in light of surplus revenue.
Senator Aric Nesbitt of Lawton says the Republican tax relief plan will lower income taxes for families, provide a child tax credit, and reduce Michigan’s business tax rate to the lowest in the Midwest. Nesbitt serves as vice chair of the Senate Finance Committee and is the original sponsor of Senate Bill 768.
SB 768 would lower the state’s personal and corporate income tax rates to 3.9% from 4.25% and 6%, respectively, and provide families with a $500 per child tax credit.
According to Senate Finance Committee Chair Jim Runestad, “In 2007, Michigan’s income tax rate was increased from 3.9% to 4.35% and a promise was made to roll it back to 3.9% by 2015. Now is the time to keep the promise as the people of Michigan have weathered economic and supply chain disasters that have followed the poor unilateral policy decisions, and historic levels of inflation, all while the state is exceeding revenue projections.”
SB 768 now moves to the full Senate for consideration.
