Nevada will soon see an historic tax hike for education. The Nevada Assembly passed $1.3 billion in new and extended taxes to reform public education. The state’s largest one-time tax increase includes Governor Brian Sandoval’s “Nevada Revenue Plan” which raises cigarette taxes and continues a set of business taxes. Nevada’s Senate needs to concur with the Assembly before Governor Sandoval signs the bill.
But a New York tax credit for homeowners and renters isn’t likely. Governor Andrew Cuomo had a $1.7 billion tax break in mind for homeowners and renters making less than $250,000 a year. They would have received a tax credit of up to $2,000 based on income and how much they pay in property taxes or rent. Cuomo now concedes the plan is a no-go, along with his proposed permanent 2 percent property tax cap.
A budget deal in Maine reveals a Republican divide. State senate leaders may have reached a $6.57 billion budget deal. While senate Republicans and Democrats could not agree on cutting income taxes, the plan would make it harder to raise taxes in the future. House Republicans plan to fight the deal, since it doesn’t include Governor Paul LePage’s income tax cuts and welfare reform.
Will Connecticut lose GE over tax increases? About $750 million in tax increases, some of which would be retroactive, would make the state a far less attractive home to General Electric. Governor Dannel Malloy and state Democrats would change the way corporate income taxes are calculated for companies based in the state. While Republican leaders view the plan as a “death knell” for Connecticut, Democrats say it’s necessary because companies shelter income in out-of-state subsidiaries and affiliates.
Interested in subscribing to the Daily Deduction, the Urban-Brookings Tax Policy Center summary of the day’s tax news? Sign-up here to get the Daily Deduction delivered to your inbox every morning. If you’d like to tell us about a new research paper or have any comments about our feature, write us at firstname.lastname@example.org.
Posts and comments are solely the opinion of the author and not that of the Tax Policy Center, Urban Institute, or Brookings Institution.
- © Urban Institute, Brookings Institution, and individual authors, 2016.