ST. PAUL, Minn. (WCCO) — Gov. Mark Dayton signed legislation Friday morning cutting millions of dollars in taxes for hundreds of thousands of taxpayers across the state.
These cuts are just one part of a tax bill unveiled by the governor last week and aim to conform state income, corporate franchise and estate taxes with federal changes.
The legislation signed Friday cuts taxes by $21 million for more than 200,000 Minnesota taxpayers.
The governor’s office claims, in all, the proposed tax bill would provide $300 million in tax cuts for more than 450,000 Minnesotans.
At the bill’s signing, Dayton addressed a big concern for many Minnesotans on MNsure in the new year: the spike in health insurance premium rates.
The Senate has passed a bill that would ease the sting of health insurance premium rate hikes, but there is still much more that needs to be done before those on MNsure see any sort of relief.
A solution to the rate hikes is in the works, but Democrats and Republicans are divided on how the relief money would be given out.
Republicans think it should be based on income, but the governor and Minnesota Democrats think that model could potentially delay aid until 2018.
“We are divided on key issues like a tax bill, like various aspects of the spending bill, transportation. Can we work all those out at the end of the session? I hope so,” Dayton said. “I promise to do my best to see that we do. It’s going to take everybody agreeing to come together. As they say, compromise means you agree to things you don’t agree with.”
The House is expected to take up similar legislation in the coming weeks. The deadline for MNsure open enrollment is January 31st.