Tax would impact wealthiest Utahns

SALT LAKE CITY — Utah's wealthiest residents would bear the brunt of a new tax proposal aiming to bolster the state's education funding by $350 million.

Rep. Brian King, D-Salt Lake, has crafted a bill that would increase the current 5 percent individual income tax rate for those who earn $250,000 to $750,000 by 1 percent and add 2 percent to earners who bring in more than $750,000 annually. King said he's hoping the increase, which would affect less than 2 percent of the state's population, garners help from those most able to shoulder a bigger tax bill.

"Almost 95 percent of the revenue generated by this change will come from those earning over $750,000," King said. "On an issue so critical to the state of Utah, these are the people in the best position to help us out of this severe budget crisis."

While Gov. Gary Herbert's budget proposal seeks to balance the state's books without incurring any tax increases in the coming year and maintains current funding levels for education, King said the failure to fund for growth is a backslide.

"Gov. Herbert's proposed budget claims to hold public and higher education harmless from across-the-board budget cuts," he said. "However, no increased funding is being provided for growth anticipated in Utah's public schools. That growth consists of more than 11,000 students."

King's bill is one of a number of tax proposals likely to be considered by the Legislature during the upcoming session that begins Jan. 25.

— Arthur Raymond