An Arkansas House panel on Thursday approved two separate measures that would provide tax relief to low-income citizens.
One, a $50 million dollar cut known as the “Tax Reform and Relief Act of 2017,” would cut the marginal income tax rate for roughly 657,000 Arkansans who make less than $21,000 a year. The bill, adopted from Gov. Asa Hutchinson's plan, would also create a task force to study the possibility of further tax legislation in the 2019 session. The bill unanimously passed out of the House Revenue and Taxation Committee.
Rep. Mathew Pitsch, the bill’s lead House sponsor, tried to reassure lawmakers concerned about the impact of a decline in state revenue if the cuts were to pass. Republican Rep. Dan Douglas questioned Pitsch about what kinds of funding the state may need to reduce.