Business Tax Cuts Part of the Republican Plan

None by KCPW

(KCPW News) Republicans at the Utah Legislature say they've agreed to give Utahns relief on their property taxes and a tax deduction to cover health insurance premiums for people not covered by an employer's plan. But businesses could be the big winners in what Senate Majority Leader Curt Bramble calls "targeted tax" policy:

"Looking at various industries, for example the airline industry," says Bramble. "It's very important that we keep Delta Airlines as a hub here. And our tax policy has to be competitive as Delta has discussions with other carriers and they look at consolidation. That could cost the state hundreds of millions of dollars if Delta chose to close their hub here."

Bramble hastens to add those tax cuts would not be subsidies, but would serve to spur economic development. House Speaker Greg Curtis says Republicans agree with the Senate on offering tax cuts for businesses this year, and want to devote ten-percent of the state's ongoing revenues to overall tax relief:

"That way if the revenue forecasts drop, the tax cut would drop commensurate," says Curtis.

House Republicans also say an additional 30-million dollars should be split between property tax relief and a deduction for health insurance premiums.

Governor Jon Huntsman did not include tax cuts in his proposed budget, saying instead it's time to focus on health care reform, education and other quote "pillars of success" for the state.

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