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State Representative Jeanne Poppe
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4193
For more information contact: Sandy Connolly 651-296-8877
Column/LTE
House tax bill brings relief to property owners
Dear Editor,
Today, the members of the House of Representatives passed a tax bill that will provide significant and permanent tax relief for property owners across the state. This revenue-neutral bill offers $543 million in relief through a series of initiatives, including school levy reduction, a new "Homestead Credit State Refund" and a $23 million cut from projected taxes on agricultural homestead land.
There are significant local benefits in this bill. The Hormel Institute will receive a sales and use tax exemption for the construction and materials used in their expansion. The city of Austin will receive an additional $323 thousand in Local Government Aid; LeRoy will get $38 thousand and Grand Meadow will receive over $53 thousand. In addition, Mower County will see close to $175 thousand in additional county aid and Fillmore County will receive just over $53 thousand.
This bill also decreases school levies. The Austin School District will see a decrease of close to $504 thousand, Grand Meadow's will decrease by almost $147 thousand and the LeRoy School District will see a levy decrease of $89 thousand.
To pay for this decrease, the bill creates a 4th tier of income tax, with every dollar of new money going directly into property tax relief. This plan will only affect couples who, after deductions, earn $400 thousand or more, and single earners who make $226 thousand, again after deductions. Presently, these high-level earners are paying a smaller percentage in state and local taxes than middle-income earners.
Over the past four years, property taxes have increased by over $2 billion, and will go up another $493 million next year under the Governor's budget plan. These taxes are very regressive and hit our seniors living on a fixed income, young families just starting out, and small businesses the hardest.
As the result of the legislation we passed today, 90% of Minnesotans will see a property tax decrease in 2008 and beyond. This plan brings more fairness to a tax system that has spun out of control in recent years, and delivers on our commitment to offer tax relief to every corner of the state.
Sincerely,
State Representative Jeanne Poppe, Austin
News Items
- POPPE SELECTED AS AGRICULTURE POLICY COMMITTEE CHAIR - (Posted: 2012-11-16 00:00:00)
- Rep. Jeanne Poppe Encourages High School Juniors to Apply for Minnesota House of Representatives Page Program - Application Deadline is November 19th - (Posted: 2012-11-12 00:00:00)
- HORMEL INSTITUTE EXPANSION SIGNED INTO LAW - 2012 legislative session adjourns sine die - (Posted: 2012-05-11 00:00:00)
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