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State Senate Passes Personal Property Tax Cuts

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timskubick Tim Skubick
Tim Skubick started in 1970 with WWJ as its first full-time state...
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LANSING (WWJ/AP) -  The Michigan Senate has passed a contentious set of bills that would roll back the personal property taxes businesses pay by hundreds of millions of dollars.

WWJ Lansing Bureau Chief Tim Skubick said the Senate voted 22-15 to pass the 8-bill package, with three Republicans siding with the Democrats who don’t support it. One senator was absent.

The measure now heads to the House.

“That is the tax businesses pay on the equipment that they have in their shops and in their offices,” Skubick explained.

Republicans supporting the legislation argue local governments, school districts and libraries will get back most of the money from payments from the state.  “The Republicans say that they came up with the language to guarantee that the money will be there. However, the Democrats in the Senate weren’t buying it,” Skubick said.

Democrats say many would still see a cut. They say that could hurt Michigan’s ability to attract businesses if it can’t provide a good education and decent services for citizens.

Skubick said Republican Gov. Rick Snyder supports the legislation.

(TM and © Copyright 2012 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2012 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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