Senate Prepares To Discuss Tax Plan
This week, Minnesota’s Senate will debate on it’s tax plan. Contained in this legislation is the repeal the state’s longstanding sales tax exemption on clothes.
The Senate is set to take up the measure on Monday afternoon. In addition to a new clothing tax, it also proposes income tax raises on the state’s highest earners.
Under the plan, individuals who earn $80,000 and up and joint filers with taxable income above $141,000 would see their state rate jump from 7.85 percent to 9.4 percent. The bill’s author told the Associated Press that that is about 6 percent of filers.
The Senate plan goes further than separate proposals by Gov. Mark Dayton and House Democrats, who both increase income tax burden only for the top 2 percent. The House tax bill does have an additional surcharge on a small slice of even wealthier people.