Middle-class families, farmers, seniors, veterans, college students all benefit from $2 billion in tax relief
ST. PAUL, MN—The Minnesota House approved the omnibus House Tax bill Wednesday with bipartisan support on a 74-58 vote. Assistant Majority Leader Rep. Dave Baker, R-Willmar, issued the following statement regarding the bill:
"I'm proud today to vote for significant tax relief that will put more money back in the pockets of middle-class families," Baker said. "Minnesota's economy thrives when Minnesotans are able to keep more of their own money in their pockets. During a time of surplus, Republicans have worked to provide tax relief to families while still making important investments in transportation, senior care, and education."
Highlights of the tax bill include:
• 2,045,000 Minnesotans could receive relief through a NEW state version of the personal or dependent exemption on tax returns equal to 25 percent of the federal exemption.
• 366,500 aging adults living on fixed income could receive relief from the phasing-out of the tax on social security.
• 240,000 farmers could receive relief through a property tax credit that reduces their disproportionate share of school district debt service.
• 130,000 families with pre-kindergarteners could receive relief through the expansion of the education deduction to include pre-kindergarten expenses.
• 109,500 college students could receive student loan debt relief through a NEW tax credit for principal and interest loan payments on student loans.