Michigan’s Earned Income Tax Credit could be increasing and the Retirement Tax could be going away. Governor Gretchen Whitmer announced the plans in her State of the State address last week, admitting that it will take bipartisan cooperation to get the job done.
The Earned Income Tax Credit proposal would increase to $3000 for an estimated 730,000 Michiganders. Whitmer said that the increase has the potential to lift over 22,000 Michiganders out of poverty and could affect nearly half of the kids in Michigan with increased earnings for their families.
The proposed repeal of the Retirement Tax would save about a half-million households $1000, according to Whitmer. Proponents of the plan say that the repeal of the tax initiated by former Governor Rick Snyder would make Michigan the first “age-friendly” state in the U.S.
Whitmer, nearing the end of her first term and gearing up for a re-election campaign, will have to work with the Republican-led state legislature, who have also expressed interest in lowering the tax burden for Michigan taxpayers.
Reporting for WGRT – Jennie McClelland
