Deseret News | Huntsman may seek 'buy-down' of taxes

From Deseret News archives:

Huntsman may seek 'buy-down' of taxes

By Bob Bernick Jr.

Deseret News

Published: Sunday, Dec. 10, 2006 12:54 a.m. MST

0 comments

| E-MAIL | PRINT | FONT + -

Page:
< Previous
1
2

Secondly, Huntsman could lower the flat tax rate, from 5.35 percent to 5.0 percent. That would also be a tax cut and could move more Utahns into the flat tax system, as well. It would cost about $100 million to go from 5.35 percent to 5.0 percent, Huntsman recently told the Morning News.

Or he could do a bit of both, more exempt income, lower tax rate.

The governor told the newspaper that if state tax revenues are growing faster than he believes government can grow — even with spending new record monies for public and higher education, transportation and Human Services — then the excess cash should be returned to taxpayers via further tax reform.

As the Deseret Morning News reported last week, current laws capping both of the state's "Rainy Day" surplus funds and a spending cap on noneducation and nontransportation funding may well leave Huntsman and members of the 2007 Legislature with more money than they can spend on state programs without boosting those limitations.

Rep. Greg Hughes, R-Draper — one of the earliest advocates of a true flat rate income tax — says a "perfect storm" is brewing in state finances, a storm that could lead to significant tax cuts and tax reform in the 2007 Legislature.

E-mail: bbjr@desnews.com