HB 6187 Summary

• Increase property tax credit from current amount to $400

• Increase earned income tax credit to 50% of applicable percentage and expand eligibility

• Establish 10% tax on annual gross revenues from digital advertising services for businesses with annual worldwide gross revenues exceeding $10 billion

• Establish 2% tax on assessed value of owner-occupied residential real property exceeding $1.5 million

• Eliminate $15 million estate tax cap and reduce estate tax exemption thresholds

• Increase tax rate under Section 12-214 to 11.5% and surcharge to 20%

• Establish 5% surcharge on net capital gains and dividend and interest income for high-income earners (over $500,000 for unmarried individuals; over $800,000 for heads of household and married couples filing jointly)

• Adjust marginal income tax rates to 8.82% and 12.696% for various filing statuses at specified income thresholds

• Require Labor Commissioner to make one-time $500 direct payment to individuals who received unemployment compensation benefits between March 15, 2020, and December 31, 2020, due to COVID-19 pandemic hardships