The Idaho Legislature’s $200 million tax cut plan is headed to the state Senate, it’s final hurdle before reaching Governor Butch Otter’s desk for his signature.
The Senate Local Government and Taxation Committee on Wednesday voted 5-4 to send the tax relief package to the full chamber.
The plan, which already passed through the House, would align Idaho’s income tax code to recent federal changes in the tax overhaul signed by President Donald Trump.
The Republican-controlled Legislature faces increased pressure to pass tax relief this year, with an election in May and taxpayers expected to pay roughly $100 million more next year if the state conforms to the new federal policy.
If approved, all seven of Idaho’s brackets for personal income tax rates and corporate tax rates would be reduced by 0.475 percent. Doing so would lower the state’s general fund by nearly $160 million, while an added child tax credit would slash the fund by more than $42 million. (AP)
