Utah lawmakers this week unveiled a plan that will give families, veterans and elderly Utahns tax breaks of around $ 100 million.
The plan consists of three bills, including Senate Bill 153, a personal exemption amendment bill that provides approximately $ 55 million to restore part of the dependent tax exemption that was reduced by federal tax changes in 2017. The bill is sponsored by Senator Lincoln Fillmore, R-South Jordan.
“This bill will restore much of the dependent exemption that was taken away from Utah families when Congress passed the 2017 Tax Cuts and Jobs Bill,” Fillmore told the House Revenue and Taxation Committee on Tuesday.
The bill on tax relief for families with children received a positive recommendation from the Income and Tax Committee with 6: 1 votes.
According to a press release, Utah state law brought back some of the exemption in 2018 “and is now trying to restore more of the exemption to further reduce taxes on families.”
Another bill, SB 11, would create a non-recoverable income tax credit for military retirement benefits and provide relief to men and women who have served in the armed forces.
Senator Wayne Harper, R-Taylorsville, the sponsor of the law, told the Revenue and Tax Committee that the legislation “is very responsive to what they (veterans) have done over the years to serve our country.”
“It’s really nice that we have been able to recognize the service our servicemen have done and that their income can be exempt from state income tax,” said Harper, who estimated the bill to be about $ 23.8 million would deliver in tax breaks.
The Income and Tax Committee issued a unanimously positive recommendation to SB 11 on Tuesday.
The third bill, House Bill 86, would eliminate income tax on some Social Security incomes to help seniors living on steady incomes.
The bill, sponsored by Rep. Walt Brooks, R-St. George would provide just over $ 18 million in cash on hand, according to the law’s tax bill.
“With these tax cuts, families, veterans and seniors will get financial relief,” Senate President Stuart Adams, R-Layton, said in a written statement. “Legislature is committed to all Utahns and will continue to work tirelessly to support our communities. I think our best days are still ahead of us. “
House Speaker Brad Wilson, R-Kaysville, said the goal of the state must “always be to collect the lowest amount of tax that will allow the state to provide necessary services and future needs.”
“Utah’s economy is set to expand, and putting more money into the hands of the people is an important element of our continued prosperity,” he said.
Connor Richards covers government, environmental, and South Utah County for the Daily Herald. He can be reached at email@example.com and 801-344-2599.