Loading chat...

AR HB1586

Bill

Status

Failed

5/17/2013

Primary Sponsor

Charles Collins

Click for details

Origin

House of Representatives

89th General Assembly (2013 Regular)

AI Summary

  • Increases the first income tax bracket from $2,999 to $4,099 at 1% rate for tax years beginning January 1, 2014
  • Reduces the second bracket tax rate from 2.5% to 2.125% for 2014, then phases down to 1.75% (2015), 1.375% (2016), and 1% (2017)
  • Reduces the highest income tax bracket rate from 7% to 6.75% for 2014, then phases down to 6.5% (2015), 6.25% (2016), and 6% (2017)
  • Adjusts multiple income bracket thresholds upward (e.g., second bracket from $3,000 to $4,100; fourth bracket from $6,000 to $8,200; highest bracket from $25,000 to $34,000)
  • Establishes that beginning in 2018, the 4.5% bracket net income amount increases annually by the greater of $15,000 or the cost-of-living adjustment, unless state revenues decline from the prior year
  • Effective for tax years beginning January 1, 2014

Legislative Description

To Gradually Reduce The Income Tax Levied On Individuals, Trusts, And Estates; To Amend The Income Tax Rates And Brackets Over Four Years; And To Adjust The Dollar Amounts In Certain Income Tax Brackets.

Last Action

Died in House Committee at Sine Die adjournment.

5/17/2013

Committee Referrals

Revenue and Taxation3/1/2013

Full Bill Text

No bill text available