Dustin Hurst reports after lengthy debate on the House floor Thursday, representatives voted 49-20 to pass a $35 million tax cut, a move proponents says will enhance job creation.
Critics of the legislation, however, argued the bill irresponsibly cuts revenues when critical government services lack appropriate funding.
House Majority Leader Mike Moyle, R-Star, the lead sponsor of the proposal, said the measure would leave more money in the pockets of Idahoans and small businesses. “It’s going back into the economy and it’s going to roll,” Moyle said of the cuts. “This is a good thing for Idaho.”
The measure would bring down LLC and individual tax rates from 7.8 percent to 7.4 percent and larger corporate rates would drop from 7.6 percent to 7.4 percent.
The legislation’s lead co-sponsor, Rep. Marv Hagedorn, R-Meridian, argued that because the state has enjoyed extra money at the conclusion of the past two fiscal years, it’s time to stop taking so much from Idahoans. He also said the measure would bring about a private sector stimulus. “This is not our money,” he said. “The people that pay this money spend it much better than we could.”
