Debate over scope of tax cuts heats up at Capitol

Published 10:12 am Thursday, March 16, 2017

ST. PAUL — The tax cut debate is about to get underway at a divided Minnesota Capitol.

Senate Republicans planned to release their plan today for how much of a $1.65 billion budget surplus they’ll devote to tax relief. Senate Majority Leader Paul Gazelka has indicated they’ll likely devote most of that sum to a bevy of different tax measures.

A tax bill will be a major source of contention between the state’s Republican-controlled Legislature and Democratic Gov. Mark Dayton as they work to set a new two-year budget. Dayton has already unveiled his own $300 million package of tax credits.

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But after two years without passing a tax bill, Republicans say they’ll press Dayton for more. The Legislature has until late May to finish its work.