(WWJ) Senior citizens may soon have a little more money in their pockets as lawmakers take up a plan to repeal the state's pension tax.
WWJ Lansing Bureau Chief Tim Skubick reports a House of Representatives committee has approved the elimination of the senior penions tax.
Lobbyists for education are displeased, Skubuck reports, because if the move garners approval, the school aid fund stands to lose $75 million. The state overall stands to lose $330 million from its $56 billion budget, freep.com reports.
State Rep. Joe Bellino, R-Monroe, says seniors need the tax break ... and maybe the school issue can be addressed too, as the legislation winds its way through the approval process.
"Are we going to save them any money?" Skubick asked Bellino, saying, "It's chump change, isn't it?"
"I'm tired of hearing about chump change," said Bellino, who sponsored the legislation. "Every quarter adds up to a dollar. Every dollar adds up to $10, every $10 adds up to $100."
He added that he would like to see something added to the bill to keep the school aid fund held harmless.
The tax on pensions passed in 2011, pushed along by Gov. Rick Snyder as a way to make the tax code more fair across the board; On Thursday, the House Tax Policy Committee voted 14-1 to get rid of it.
