SALT LAKE CITY, Utah, Feb. 10, 2022 (Gephardt Daily) — The Utah Senate has approved a $193 million tax cutting bill, which is now on its way to Gov. Spencer Cox’s office for signing.
SB59 reduces income taxes from 4.95% to 4.85%, saving Utahns $163.7 million annually. The bill also includes an earned income tax credit that reduces the tax burden by $16.1 million, in addition to an expanded Social Security tax cut of $15.4 million.
SB59’s original House sponsor, Rep. Casey Snider, R-Paradise, said the amended bill was well-balanced. “What we’ve crafted here is fair, it’s equitable, it extends across all income brackets, and it makes everybody equally happy and unhappy,” Snider said.
Gov. Cox’s office issued the following statement in response to the bill’s passing:
“As a freshman legislator nine years ago, I supported an earned income tax credit to benefit low- and moderate-income Utahns,” Cox said. “Every year since I have worked to get the EITC signed into law. I could not be more excited to finally get this piece of legislation across the finish line.
“I also look forward to signing into law income tax cuts for all Utahns in addition to expanded Social Security tax cuts for Utah’s most vulnerable seniors. I applaud the Legislature on their efforts in arriving at this bipartisan and balanced outcome,” Cox’s statement said.
“All together, these tax cuts will return hard-earned money to Utah families and alleviate current inflationary pressures. These tax cuts are a tremendous win for Utah families and seniors, and I look forward to signing this bill into law.”
Under SB59, the Legislature estimates a Utah family of four with an annual income of $72,000 will save $1.84 per week in taxes, a total of $96 per year. Those receiving the earned income tax credit will save $194, while recipients of the new Social Security tax credit can expect to save $210 each year.
While working its way through the legislative process, SB59 had opposition in the House on both sides of the aisle, by those calling for an end to the state’s food tax, a proposal supported by Gov. Cox’s office. Those favoring a food tax repeal said it guaranteed any tax relief extended by the Legislature would benefit all Utahns, regardless of income.
Senate President J. Stuart Adams offered praise for the bill Thursday night in a prepared statement. “Today is a good day because we have reduced taxes once again and put more money back into the hands of hard-working Utahns,” Adams said. “After such a difficult few years, Utahns deserve this relief.”
