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House Panel Passes Detroit Tax Bills
Two bills characterized as technical changes were passed by the House Committee on Tax Policy Wednesday, with the majority of the yes votes coming from the panel’s Democratic members.
Committee Chair Representative Jud Gilbert (R-Algonac) and Representative John Walsh (R-Livonia) joined Democrats in approving the two measures, House Bill 4623 and 4624. The legislation lowers the population requirement for municipalities to levy taxes from 750,000 to 600,000.
Proponents argue the changes are necessary to allow the City of Detroit to continue levying its 2.5-percent income tax and 5-percent utility tax, given the City’s drop in population to below 750,000 in the 2010 US Census.
The support shown by Republican leaders in the Legislature has been described as a potential trade for assistance on procedural matters (namely, immediate effect votes) in both the House and the Senate. Further, it has also been rumored that the changes may be used as leverage by the Snyder Administration in obtaining necessary votes for the New International Trade Crossing (NITC). Legislation regarding the proposed span from Detroit to Windsor is tentatively scheduled for introduction s
posted by PAA Online
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Friday, May 27, 2011
10:06 AM
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