Dayton Casts GOP Tax Cuts As Giveaway To Rich
ST. PAUL, Minn. (AP) – Minnesota House Republicans have outlined a series of income tax cuts, which Democratic Gov. Mark Dayton says would disproportionately benefit top earners.
The House plan would lower two of Minnesota’s three tax rates by a faction of a percent each, phasing the reductions in over three years. Because those in the top tax bracket pay a portion of their taxes based on the lower two rates, they would see tax breaks, too.
A Revenue Department analysis suggests the average filer would see a tax cut of $64 in the first year. But those with incomes above $100,000 would see burdens fall by $100 to $200. That’s consistent with an analysis by House researchers.
Dayton says any tax cut would require additional state spending cuts because of Minnesota’s $5 billion deficit.
(Copyright 2011 by The Associated Press. All Rights Reserved.)