The tax-cut debate is center stage at the Minnesota Legislature today as Senate Republicans roll out their plan to cut the income tax rate for the lowest bracket nearly in half. Rochester Senator Carla Nelson says, “It is time that we use this large, historic surplus to really right-size our tax code.”
Governor Tim Walz’s revenue commissioner, Robert Doty warns it will also benefit Minnesotans in the highest income categories, and “the bill also provides a subtraction for all Social Security income, again benefiting our highest earners.” Doty says 53 percent of Social Security recipients already pay no state income tax on benefits.
House Democrats are rolling out their tax cut plan this afternoon, focusing on tax relief for low- and middle-income Minnesotans. They say it leaves money available for education and other important investments. Republicans respond, put more money in Minnesotans’ pockets and let *them* decide how to use it.