House Bill 10
- Individual Income Tax
- Replacement of the three-tier rate system (top rate of 4.25%) with a flat rate of 3%.
- Increase the standard deduction
- Retirement income exemption changes from $6,000 to $12,000
- Repeal net capital gains deduction from qualified sales of interests in certain businesses.Sales & Use Tax Rate
2. Sales & Use Tax Rate
- Raises the states sales & use tax rate to 5% (previously 4.45%)
These changes are effective 1/1/2025
House Bill 2
- Corporate Income Tax
Replacement of the three-tier rate system (top rate of 7.5%) with a flat rate of 5.5%.
Adopt 100% bonus depreciation for most business assets.
These changes are effective 1/1/2025
House Bill 3
Corporate Franchise Tax is repealed effective 1/1/2026.
House Bill 8
Sales & Use Tax on Digital Products
Levy sales & use tax on digital goods (i.e., digital audiovisual works, digital books, digital games, digital periodicals, etc.) that are not presently taxed.
These changes are effective 1/1/2025.
House Bill 7
Constitutional Amendment which includes:
- moving certain property tax provisions from the Constitution to statute
- a $2,000 permanent annual pay raise for teachers
- merger of several major state funds
- higher thresholds to legislate tax increases
- imposing a state spending cap
- increase to the standard deduction for seniors
Requires a March 29, 2025 Statewide election for voter consideration