Connect with us

Hi, what are you looking for?


Tax Relief 2023: Michigan Governor Signs Bill To Cut Taxes For Retirees, Low-Income Earners

Tax Relief 2023 [Photo: Shutterstock]
Tax Relief 2023 [Photo: Shutterstock]

Michigan Governor Gretchen Whitmer signed a bill to modernize the tax system created over a decade ago. The bill was initially proposed to benefit the retirees and low-income earners of the state with the Tax Relief 2023.

Tax Relief 2023 [Photo: YH TAN & ASSOCIATES]

Tax Relief 2023 [Photo: YH TAN & ASSOCIATES]

On March 7, Governor Gretchen Whitmer signed a bill into law to modernize the tax system of the state and provide Tax Relief 2023 to the residents of Michigan. The law basically overrules the changes to the tax bills of retirees and low-income earners created more than 10 years ago.

According to Hendrickson, this is because in 2011, former Governor Rick Snyder also signed a bill into law that cut corporate taxes by removing the full and partial tax exemptions for public and private retirees. In addition, the law also reduced Michigan’s Earned Income Tax Credit (EITC) which should should have helped finance the income of low-earning families.

READ ALSO: Michigan Governor And Democrats Announce Historic Tax Break Plan With Retroactive Credits And Repeal Of Retirement Tax

Tax Relief 2023 in Michigan

According to Oosting, the bills that were introduced to the legislature dominated by Democrats proposed to re-establish the tax exemptions for retirees. In addition, Whitmer also started the year 2023 with a pledge to expand Michigan’s EITC. The bill signed by Whitmer initially proposed that retirement income must be taxed the same way private pensions were taxed before Snyder imposed the changes to EITC. These changes to EITC include increasing the federal tax credit from 6% to 30% which will issue around $750 in Tax Relief 2023 to eligible taxpayers.

Furthermore, Whitmer and her fellow Democratic leaders also intend to issue $180 worth of Tax Relief 2023 checks to the tax filers of the state. However, the proposal did not obtain the required votes from the Republican to be able to implement the bill immediately.

READ ALSO: Michigan Inflation Relief: Democrat’s Rebate Checks Vs. Republican’s Tax Cuts

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *