New Tax Cuts Good for All Utahns

None by KCPW

(KCPW News) Last year's attempt by Utah lawmakers and Governor Huntsman to cut taxes ended in an embarrassing miscalculation, delaying the cuts to a special session. This year, though, officials say they reached their "end game" with a single five percent income tax rate. Mike Jerman of the Utah Taxpayers Association crunched the numbers and says nearly every Utah family will benefit:

"They do, and there are several reasons for that," says Jerman. "Obviously when the economy is booming, it gives the legislature and the Governor the opportunity to cut taxes and minimize losers. Overall, it's a pretty substantial tax cut for all taxpayers."

In two years, when Utahns are paying a single five-percent tax rate with a handful of deductions, Jerman says the average family of four making $60,000 a year will see a savings of $300. That's compared to the current system in which anyone making more than $8,600 pays the top income tax rate of 7 percent. Jerman says families on the low end of the scale will see the most substantial savings as a percentage of their income.

Email to a friendPosted in KCPW Newsroom. Copyright 2008 KCPW