Sweeping tax bill likely to extend legislative session
Here’s a link to my full story at spokesman.com on the complicated legislation Idaho House GOP leaders introduced today to make big changes in Idaho’s tax system – lowering the top income tax rate, removing the sales tax from groceries, and raising the gas tax by 7 cents a gallon. The sweeping proposal was introduced just two days before lawmakers had originally hoped to adjourn their session this year; they’ve already acknowledged it’ll now go at least into next week.
House Speaker Scott Bedke said the tax bill, along with other measures that are now moving forward, matches his initial goals for this year’s legislative session: To make significant improvements in education and in transportation infrastructure, and to make Idaho more attractive to businesses. The House already has endorsed a $125 million, five-year plan to boost teacher pay; that measure won unanimous support from a Senate committee Wednesday afternoon. Also, several other bills to boost road funding have been introduced.
Bedke said lowering the top individual income tax rates would help attract businesses, because most Idaho businesses, including partnerships, start-ups and entrepreneurs, pay their taxes there rather than through the corporate tax. “That’s where the action is going to be in Idaho’s economy: Start-ups,” he said.