Senate Poised to Vote on tax Plan With Income tax cut

A Final Vote is Expected Later Today

ST. PAUL, Minn. (AP) – The Minnesota Senate is preparing to vote on its plan to cut income tax rates while matching the federal tax overhaul.

The Republican-controlled Senate’s proposal up for a vote Thursday would lower taxes on the first income bracket from 5.35 percent to 5.1 percent.

It would also trigger future tax cuts when the state has a budget surplus and exempt estates worth up to $5 million from taxes.

Democratic Gov. Mark Dayton has signaled some openness to the tax rate cut.

But he favors his approach of redirecting $400-plus million in additional tax revenue to middle income families through new tax credits.

A final vote was expected later Thursday.

Then the real work can begin. Dayton and Republican legislative leaders have just over two weeks to strike a final deal.