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Michigan Senate committee okays personal income tax cut

On the outside, looking into the Michigan State Senate.
On the outside, looking into the Michigan State Senate.

LANSING (WKZO) -- The state Senate Finance Committee has voted in favor of gradually reducing the state income tax from 4.25-percent down to 3.9-percent.

If approved by the legislature, the reduction would take place between now and 2017.  The move would reduce tax revenues for the state by nearly 144-million dollars in its first year and up to 873-million by 2017.

Talk of tax cuts started almost immediately after the announcement that the state has a 791-million dollar budget surplus.

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