The Minnesota House has approved legislation that prioritizes tax relief for middle-class families, college students, aging adults, veterans, farmers and job creators.
This is a complete reversal from our last budget setting session, where an all Democrat-led government raised taxes and fees by billions of dollars on hardworking Minnesotans in order to feed an already well-fed state government.
This year, House leadership has recognized that Minnesota's state budget isn't struggling – a projected $2 billion surplus is evidence of that. But families across Minnesota are struggling with their personal budgets, which is why we are attempting to provide them with tax relief in a variety of ways.
For example, a family of four with a child in preschool could receive up to $1,500 in tax savings each year from deductions on pre-kindergarten expenses thanks to dependent exemptions, tax credits, and deductions. Veterans with 20 years of service to our country could receive up to $1,970 in relief each year from exempting military retirement pay. Small business owners will also be pleased with the phase out of the statewide business property tax. College or technical school students could receive up to $3,500 in student debt loan relief each year from a tax credit for student loan payments.
But for me, the phasing out of the social security tax is one of the most important provisions in the bill. This is the first piece of legislation I authored as a freshman and have been working on it for five years, and it would directly benefit our seniors who have already paid tax on this income. Minnesota is only one of seven states that taxes this retirement income.
This language shows our retired neighbors who were considering moving out of state due to our excessive tax obligations that we want to them to remain in Minnesota and we value their residency.
The comprehensive tax relief proposal now heads to the Minnesota Senate for consideration.
The House has also approved a health and human services finance bill. The highlight of the legislation is the prioritization of our nursing homes and increased funding for them. I am also pleased to report it includes the Prenatal Trisomy Diagnosis Awareness Act that I am sponsoring.
This proposal would provide expectant parents, upon receiving a diagnosis of Trisomy 13, 18, or 21 (Down's syndrome) with supportive and educational information provided by the Minnesota Department of Health and national and local advocacy organizations.
The legislation is important as it would support parents by informing them about their child's condition and potential treatment options, improving patient-doctor communication, and creating awareness for Trisomy research and advocacy. It would not ban any medically available procedures or limit the ability of doctors to offer medical advice.
As always, I am interested in your feedback. Please feel free to contact me by e-mail at Rep.Kathy.Lohmer@House.MN or contact my office at 651-296-4244. You can also send mail to my office address: 501 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155.