Tax cuts for the rich in 5 red states have cost residents whopping $2.2 billion: report

[Miles Archer]

Tax cuts for the rich in 5 red states have cost residents whopping $2.2 billion: report

https://www.rawstory.com/tax-cuts-2674206606/

A progressive think tank has found that America’s wealthiest citizens aren’t just benefiting from the federal tax cuts passed in Republicans’ One Big Beautiful Bill Act this past summer, but from tax giveaways offered by Republican-run states.

The Institute on Taxation and Economic Policy (ITEP) released a new analysis on Thursday showing that five states—Kansas, Mississippi, Missouri, Ohio, and Oklahoma—this year have enacted income tax cuts for families that earn over $1 million per year that are projected to collectively reduce their state governments’ revenues by $2.2 billion per year once fully implemented.

The two biggest tax cuts for the wealthy came in Mississippi and Oklahoma, both of which have voted to phase out their state’s income taxes over the span of several years. Once the income tax is fully repealed in those two states, ITEP estimates that millionaires living in them will pay $130,000 less per year.

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“The average millionaire tax cut is more than 50 times the size of the average cut for non-millionaires in each of the five states included in this report,” the think tank noted. “In Mississippi and Ohio the average tax cuts for millionaires are over 100 times the size of those for non-millionaires.”

[MichMan]

1. If Mississippi & Oklahoma are eliminating state income taxes altogether, seems like tax cuts for everyone

The two biggest tax cuts for the wealthy came in Mississippi and Oklahoma, both of which have voted to phase out their state’s income taxes over the span of several years.

If a tax is eliminated, of course those who already pay more would get the biggest cuts. Basic math

They would be joining the 9 other states with no state income taxes.