Bill description: HB 561 would reduce all personal income-tax rates by one-tenth percent whenever state revenues exceed the prior year revenues by six percent.
Does it directly or indirectly create or increase any taxes, fees, or other assessments? Conversely, does it eliminate or reduce any taxes, fees, or other assessments?
HB 561 would reduce state personal income-tax rates whenever state General Fund tax-collections exceed those of the prior year by six percent or more. The change would automatically reduce the rates for every tax bracket by one-tenth percent.
The Fiscal Note for HB 561 estimates if the income-tax rate for each tax bracket were reduced by one-tenth percent in FY 2019, Idaho taxpayers would save roughly $36.5 million. If the over-collections of tax revenue continued from one year to the next, the amount returned to income-tax filers would grow.
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