Senate Committee Advances Bill Eliminating Income Tax ‘Double Deduction’
Senate committee passes tax credit reductions
by Rick Green
A Senate committee on Thursday began the process of reducing tax credits to help make up a $1.3 billion budget hole.
The Joint Committee on Appropriations and Budget passed bills to trim credits for energy efficient home construction, the earned income credit and a credit for child care service providers.
It also voted to eliminate an unusual “double deduction” provisions that allows people to deduct state taxes twice.
All told, these changes, which still need to pass both chambers of the Legislature, would save more than $130 million next fiscal year.