LANSING, Mich. — State Sen. Jim Runestad, chairman of the Senate Finance Committee, on Friday called upon the Legislature to work together to pass tax cuts in response to the vote of the Consensus Revenue Estimating Conference (CREC) report today, which confirmed a record projected revenue forecast in Michigan.
The CREC reported a total general fund and school aid fund for the fiscal year of $28.5 billion and growing to over $29 billion by 2024. The 2022 estimates were an increase of over $1.7 billion from May.
“The Senate Finance Committee will continue moving forward on proposals to provide tax relief for families and Michigan businesses,” said Runestad, R-White Lake. “In light of the CREC report, there is no excuse for continuing to overtax Michigan residents. Government works best when the people are not overtaxed and can make their own decisions on what they want to support with their hard-earned dollars.”
In 2021, the Senate voted in support of several proposals to help reduce taxes on working families and sent a proposal sponsored by Runestad to restore the Child Tax Credit to the House for consideration.
“According to the Mackinac Center for Public Policy, 14 states cut taxes last year,” Runestad said. “This year, Mississippi has already had a first-chamber vote to phase out individual income tax, and Indiana House Republicans have signaled they’re going to cut individual income taxes to 3% and eliminate the business PPT.”
Going into 2022, Runestad said he will continue to support and pass proposals to reduce the state’s income tax and provide tax relief for families and Michigan businesses, including reductions in Michigan’s income tax and repeal of the Michigan personal property tax on businesses. In addition to direct tax cuts, he stated that he will be holding hearings to address accessibility of property tax Board of Review hearings and Michigan Tax Tribunal hearings, as well as provide more transparency in the assessment and equalization processes.
Additionally, Runestad said he will continue to work with the business community to reduce duplicative or unnecessary tax paperwork by developing more streamlined and less burdensome processes.
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