After more than five hours of debate, the House passed its omnibus tax bill 74-59.
Sponsored by Rep. Ann Lenczewski, DFL-Bloomington, HF2362 would create a new top income tax rate of 9 percent for married couples filing joint returns who earn more than $400,000 a year and for single taxpayers with incomes above $226,000. The current top rate is 7.85 percent.
The measure passed Friday on a vote of 74-59 after more than five hours of debate.
Other provisions would:
• establish a FARMZ program as part of the Job Opportunity Building Zones. This would allow the Department of Employment and Economic Development to transfer existing JOBZ parcels to qualifying farm sites, providing JOBZ benefits for on-farm agricultural processing facilities;
• shield disabled veterans from property taxes, allowing those who are totally disabled to exclude up to $300,000 of their home\'s market value from taxation. The benefit would carry over to a spouse after the veteran\'s death;
• eliminate the provisions that give tax breaks to companies with foreign operations;
• increase the maximum renter\'s property tax refund by 6 percent, topping out at $1,500. Income eligibility would increase as well, to $60,000 from $50,160; and
• increase local government aid to cities by $60 million.
The Senate refused to accept the House bill, instead amending it with SF1024, sponsored by Sen. Thomas Bakk, DFL-Cook, which was approved by the Senate 38-28 March 30. A conference committee is expected to work out the differences.
Reprinted from Session Daily, published by the Minnesota House of Representatives, www.house.leg.state.mn.us/hinfo/sdaily.asp
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After more than five hours of debate, the House passed its omnibus tax bill 74-59.
Sponsored by Rep. Ann Lenczewski, DFL-Bloomington, HF2362 would create a new top income tax rate of 9 percent for married couples filing joint returns who earn more than $400,000 a year and for single taxpayers with incomes above $226,000. The current top rate is 7.85 percent.
The measure passed Friday on a vote of 74-59 after more than five hours of debate.
Other provisions would:
• establish a FARMZ program as part of the Job Opportunity Building Zones. This would allow the Department of Employment and Economic Development to transfer existing JOBZ parcels to qualifying farm sites, providing JOBZ benefits for on-farm agricultural processing facilities;
• shield disabled veterans from property taxes, allowing those who are totally disabled to exclude up to $300,000 of their home\’s market value from taxation. The benefit would carry over to a spouse after the veteran\’s death;
• eliminate the provisions that give tax breaks to companies with foreign operations;
• increase the maximum renter\’s property tax refund by 6 percent, topping out at $1,500. Income eligibility would increase as well, to $60,000 from $50,160; and
• increase local government aid to cities by $60 million.
The Senate refused to accept the House bill, instead amending it with SF1024, sponsored by Sen. Thomas Bakk, DFL-Cook, which was approved by the Senate 38-28 March 30. A conference committee is expected to work out the differences.
Reprinted from Session Daily, published by the Minnesota House of Representatives, www.house.leg.state.mn.us/hinfo/sdaily.asp