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Legislature Across Country Tweak Tax Codes

States Play with Tax Laws

Politicians across the country are trying to change their state’s tax laws and the impact on their constituents’ pocketbooks.

While federal income tax rates are out of bounds, state taxes like income and sales taxes are fair game for state Senators and Representatives. Here’s a look at how different state legislatures are looking to change their tax laws.

  • In Illinois a state Senate committee is looking to make people pay more at strip clubs. If approved, this bill would impose a tax on $5 per person on strip clubs that serve alcohol or allow customers to bring their own booze. The revenue would be used to fund sexual assault prevention programs.
  • The state Senate in Arizona rejected a bill that would have required online bazaars like Amazon.com to collect sales tax from that state’s residents. Amazon wasn’t named in the bill, but it was widely viewed as targeting the company and would have classified it as an Arizona retailer due to its distribution centers in the state.
  • State legislators in Idaho put on hold a proposed constitutional amendment that would require a two-thirds supermajority to pass bills that increases taxes or fees. The House State Affairs Committee decided to punt rather than vote.
  • To keep film production in the Evergreen State, the legislature in Washington voted to revive film tax credits designed to lure movie production there. The program doles out $3.5 million a year and offers a rebate of 30 percent for the amount spent within Washington state borders.
  • Maryland politicians moved to raise income taxes. A state Senate committee passed the progressive measure that would see larger increases on the states wealthiest compared to those with more modest incomes.

Unlike federal income tax laws, state tax laws change all the time. If you owe the IRS back taxes, make it a priority by resolving it with the help of a tax attorney or tax professional. You can help make sure you’re not on the receiving end of a wage garnishment or bank levy, which is one tax code that’s not set to change anytime soon.

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