SB 4
Increases the amount of the personal income tax cut and the business income deduction in current law
Sponsor:
LR Number:
0293S.01I
Committee:
Last Action:
2/12/2015 - Hearing Conducted S Ways and Means Committee
Journal Page:
Title:
Calendar Position:
Effective Date:
August 28, 2015

Current Bill Summary

SB 4 - Currently, the top rate of tax on personal income is being reduced over a period of years. Each year that a general revenue growth trigger is met, the top rate will be reduced by 0.1%. The top rate will continue to be reduced until the it is lowered from 6% to 5.5%. This act increases the amount in which the top rate will be reduced. Each year the trigger is met, the top rate will be reduced by 0.2%. The top rate will continue to be reduced until it is lowered to 5%.

Currently, a business income deduction is being phased in over a period of years. Each year that a general revenue growth trigger is met, the deduction amount is increased by 5%. Once fully phased in, individual taxpayers may deduct up to 25% of their business income. This act increases the amount that may be deducted. Each year that the trigger is met, the deduction amount will be increased by 10%. Once fully phased in, individual taxpayers may deduct up to 50% of their business income.

MIKE HAMMANN

Amendments