Whitmer announces largest tax break plan for working families, seniors
(CBS DETROIT) - On Monday, Feb. 6, Gov. Gretchen Whitmer and Democratic leaders rolled out the largest tax break for working families and seniors in decades.
Senate Majority Leader Winnie Brinks and Speaker Joe Tate joined Whitmer to announce the Lowering MI Costs Plan, which rolls back the retirement tax, boosts the Working Families Tax Credit and delivers inflation relief checks to taxpayers.
"The #1 concern for Michiganders right now is costs," said Governor Whitmer. "Our Lowering MI Costs plan puts money back in people's pockets by rolling back the retirement tax, quintupling the Working Families Tax Credit, and delivering inflation relief checks to every taxpayer. Getting this done will help people pay the bills and put food on the table, as inflation impacts their monthly budgets. I am proud that we are hustling to get this done and deliver real, immediate relief to Michiganders."
Here's what Michiganders can expect to see from the Lowering MI Costs Plan:
- Retirement Tax: The retirement tax will be phased out over four years, putting an average of $1,000 back to 500,000 households. The plan will equalize the exemption on public and private pensions.
- Working Families Tax Credit: The Lowering MI Costs Plan quintuples the Michigan Working Families Tax Credit match of the federal Earned Income Tax Credit (EITC) to 30%, up from 6%. Nearly one million kids will be impacted, as an average combined tax refund of $3,150 will be delivered to 700,000 families.
- Inflation Relief Checks: $180 inflation relief checks will be delivered to every taxpayer in the state. This is to provide relief to everyone and expand on the relief for families and seniors.
