Republicans Say Surplus Should Spur Sales Tax Cut

Created: 03/19/2014 12:02 PM
By: Scott Theisen

Republicans in the Minnesota Senate say a big slice of the state's budget surplus should be used to scale back the sales tax.
Minority Leader David Hann proposed Wednesday that a half-penny be chopped off sales taxes collected at the cash register starting this summer. That would take the rate from 6.875 percent to 6.375 percent.
The cut would cost about $362 million in its first year, about one-fourth of the projected surplus.
Hann says it would give taxpayers immediate assistance and keep the state from collecting more money than it needs.
Democrats run both chambers of the Legislature, so Republican proposals face longer odds from the get-go.

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