Vote rolls back retirement tax, quintuples Working Families Tax Credit, builds affordable housing, helps bring jobs and supply chains home to Michigan
LANSING, Mich. – Governor Gretchen Whitmer released the following statement after the Michigan Senate passed a bill to implement the largest tax break for working families and seniors in decades. The plan rolls back the retirement tax, quintuples the Working Families Tax Credit, and invests in affordable housing, economic development, and community revitalization.
“The number one concern for Michiganders right now is costs. Too many people are putting items back on grocery store shelves, putting off car repairs or doctor appointments, and having tough conversations about how to make ends meet.
“Today, the Michigan Senate passed the largest tax break for seniors and working families in decades. Michiganders have been fighting to roll back the retirement tax and boost the Working Families Tax Credit for years, and today, we got it done.
“Twelve years ago, the rug was ripped out from under our seniors and working families—the retirement tax was slapped on and the Working Families Tax Credit was gutted. It was wrong. Now, we’re making it right, putting money back in people’s pockets in every community and every county. It proves that we can deliver real change that makes a difference in people’s lives.
“It’s disappointing Republicans blocked efforts to give Michiganders $180 inflation relief checks today, but we’re hopeful they can come together with Democrats to get it done.
“I want to thank Speaker Tate and Senate Majority Leader Brinks for their tireless efforts to get this done. Let’s keep working together to build a brighter future for anyone who wants to call Michigan home.”
Rolling Back the Retirement Tax and Expanding the Working Families Tax Credit
With today’s vote, Michiganders will see money back in their pockets as they face high costs. The vote:
- Rolls back the retirement tax, putting an average of $1,000 back in the pockets of 500,000 households. Michigan seniors deserve to keep more of what they earned after a lifetime of hard work.
- Quintuples the Working Families Tax Credit, delivering an average combined tax refund of nearly $3,200 to 700,000 households, directly benefitting almost half the kids in Michigan.
Today’s vote also invests in economic development, affordable housing, and community revitalization:
- Invests $500 million in economic development to bring supply chains back home to Michigan and create good-paying jobs in Michigan communities.
- Invests $50 million in Housing and Community Development fund to build affordable housing for seniors, veterans, people with disabilities, and working-class families.
- Funds $50 million in Revitalization and Placemaking (R-A-P) grants to turn underutilized space into affordable housing, parks, outdoor dining spaces, community gathering places, and more.
Supplemental
Last month, Governor Whitmer signed a $1 billion bipartisan supplemental package to build more affordable housing, revitalize communities, increase training law enforcement, and support workers and entrepreneurs. This was the earliest a bill had been signed by a Michigan governor in a new term since 1947.
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