The Senate Tax Committee considered Governor Walz’s $2.3 billion tax relief proposal this week, including his plan to send 2.7 million households direct payments of $1,000 (married) or $500 (single). These rebates would be sent this year – not at tax-filing time next spring – and could help families absorb rising gas, grocery, and energy costs. The Governor’s budget also makes direct investments in working families through permanent increases in the Dependent and Child Care Tax Credit, K-12 education credit, and Working Family Credit.
His bill also invests $100 million in Public Safety Aid to cities, counties, and Tribal governments with law enforcement departments. Local Government Aid does help support local public safety efforts, but not every city receives this state funding. The Public Safety Aid would be available to support all public safety departments in the state. (SF 3692)
Senate DFLers have introduced several ideas to help Minnesotans save money this year, including property tax refund increases, an increase in the Social Security tax subtraction, direct sales tax rebates, and income tax rate reductions. Like the Governor, the Senate DFL will remain focused on sustainable, targeted policies that help regular Minnesotans catch up from the stresses of the past two years while preserving the state’s stable financial future.