Recently, there has been a great deal of discussion on tax policy. I want to take the opportunity to outline my belief that continuing to lower taxes remains critical in helping Idaho create jobs and grow our economy.
I strongly believe it is critical to continue to provide reasonable tax relief that will benefit Idaho’s small business owners and families. I have proposed a tax plan (House Bill 380) that lowers taxes and benefits 76 percent of all filers with taxable income and raises the grocery-tax credit for another 15,500 Idahoans.
A recent Idaho 2020 poll shows that 69 percent of Idaho voters believe that lower state taxes are important to helping attract new businesses and creating jobs. Idaho faces a very competitive regional landscape where Idaho’s measure of overall business and tax rates rank in the bottom half of neighboring states.
Idaho’s current tax policies place us at a considerable disadvantage in attracting companies and new jobs. Recent polling shows that nearly 60 percent of Idahoans are unaware that we have higher tax rates when compared to surrounding states, who we compete with when trying to attract new businesses that bring jobs to our state.
Tax relief is a practical step in the right direction where we continue to lower our tax rates to make Idaho more competitive regionally. As we attract new businesses to come to Idaho, they will help create more jobs and stimulate our economy.
More jobs not only help elevate the people of Idaho but helps to increase revenue for our state budget, allowing us to make the needed investment in critical priorities like education. Ultimately, with the recent uptick in state revenues, tax relief does not have to come at the expense of education.
We can do both, give tax relief and provide the much needed support for our education programs. My plan will benefit a vast majority of Idaho income tax payers. At the same time, lowering corporate tax rates will help Idaho become more competitive, encouraging new businesses to develop in our state and help grow Idaho’s economy.
I am the first one to admit that these are not big adjustments, but these are adjustments in the right direction. Lower tax rates will stimulate the economy and bring a robust future for Idaho.
Rep. Mike Moyle, R-Star, is the Republican Majority Leader in the Idaho House of Representatives.