Greetings District 10!
Senate Pass Largest Tax Cut Ever—Provide Financial Relief Statewide
With inflation reaching its highest point in nearly 40 years, working Minnesotans are being pressured more every day by soaring prices for gas, groceries, and energy. Senate Republicans made good on early session promise to give back Minnesota’s historic $9 billion budget surplus with the largest permanent tax cut in state history.
With bipartisan support, the Senate this week passed a landmark tax cut bill that reduces the first-tier tax rate for all filers from 5.35% to 2.80%, and fully eliminates the state income tax on all Social Security benefits. The bill provides taxpayers with a staggering $8.43 billion in relief over the next three years.
“Working Minnesotans across our state have been vocal about the need for lower taxes and the elimination of social security income taxes, and our $9 billion surplus is proof that working families are consistently over-taxed. I’ve carried the bill to end the social security income tax since 2013, because our seniors deserve better—they should be able to retire in our state without paying taxes on income they’ve already paid taxes on. Today’s bill affirms our commitment to lower taxes, financial relief, and an end to the outdated tax on social security benefits.”
Reducing the first-tier tax rate: Minnesota’s lowest tax bracket is higher than the highest tax bracket in 24 other states. Over 2.4 million filers would benefit from the historic Republican tax rate cut, with an average savings of $759. A typical family making $100,000 would see a savings of $1,064.
Full elimination of the tax on Social Security income: Minnesota is one of just 13 states that tax Social Security benefits. Impacting taxpayers with just $25,000 in income, the Social Security Income tax hits more than 407,000 Minnesota filers. None of the states that border us — Iowa, Wisconsin, Michigan, and South Dakota — tax Social Security income. Eliminating the Social Security tax would put $1.6 billion back into the hands of beneficiaries, with an average benefit of $1,254.
Republicans passed billions in tax cuts in the last five years, stopped Gov. Walz’s massive tax increases, and passed the first income rate tax cuts in 20 years. The bill passage signals an effort to continue meaningful and permanent tax relief.
Additional Information…
Ride the Range—Regional Groups Collaborate to Promote Four Trail Systems
Four regional bike trail systems launched a collaborative marketing effort called Ride the Range. Giants Ridge (Biwabik), Cuyuna (Crosby), Redhead (Chisholm) and Tioga (Cohasset) are featured on a new website, ridetherange, that provides trails, lodging, camping and dining information to visitors. The initiative was led by the four trail systems, Iron Range Tourism Bureau (IRTB), Visit Grand Rapids and the cities of Chisholm and Cohasset.
Department of Iron Range Resources & Rehabilitation
Businesses, communities, and outdoor recreation in northeastern Minnesota receive over $15.6 million in economic development funding… April 5, 2022, Board Meeting Recap: IRRRB
Lessard-Sams Outdoor Heritage Council—Funding Requests for 2024
The Lessard-Sams Outdoor Heritage Council (LSOHC) was established by the legislature with the responsibility of providing annual funding recommendations to the legislature from the Outdoor Heritage Fund. The Outdoor Heritage Fund, one of four funds created by the Clean Water, Land and Legacy Amendment, receives one-third of the money raised by the tax increase. The council ensures recommendations that are consistent with the Constitution and state law and that take into consideration the outcomes of, but not limited to, the Minnesota Conservation and Preservation Plan, that directly relate to the restoration, protection, and enhancement of wetlands, prairies, forests, and habitat for fish, game, and wildlife, and that prevent forest fragmentation, encourage forest consolidation, and expand restored native prairie.
The LSOHC is currently requesting Funding Requests for FY2024…LSOHC staff is always willing to meet with groups to discuss potential project ideas. Please find more information here: LSOHC Call for Funding
God bless you & your family as the Easter season begins…may your hearts be filled with His love & peace!
If you’re looking to hear more from the Capitol, please like me on Facebook.
As always please feel free to contact my office with any questions you might have. My office can be reached by phone at (651) 296-4913 or at sen.carrie.ruud@senate.mn.
Talk to you soon!
Carrie Ruud