Translate
A.G. File No. 2006-026

McCauley-Rooker Tax Equity and Fiscal Responsibility Act

May 04, 2006

 


This measure relates to state taxation and contains four main provisions: (1) Establishes a Wealth Tax. The measure institutes a state wealth tax levied on the net assets of individuals with values in excess of about $40 million as of January 1, 2007. (2) Alters Income Tax Rates. The measure reduces the CT rate from 8.84 percent to 4 percent, reduces the CT minimum tax, and enacts various other changes to the CT. Also imposes an additional tax under the PIT for high-income taxpayers and eliminates the current Alternative Minimum Tax. (3) Curtails Certain Tax Expenditures. The measure eliminates or restricts certain so-called tax expenditure programs (TEPs), most significantly, personal and dependent exemption credits, enterprise zone deductions and credits, and research and development activity credits. (4) Institutes New Tax Programs. The measure establishes several new tax programs including tax credits.