The latest economic outlook shows Minnesota with a considerable budget surplus of $17.5 billion. Minnesota’s Budget Commissioner says it shows a strong economy, with lower inflation and a milder recession than previously anticipated.
In response to the report, minority Republican Lawmakers announced a “Give it Back” tax relief plan on Tuesday. The plan would return $13 billion to taxpayers over the next two years. Republican party members of the House and Senate are presenting a few ways to do it, one of which involves the elimination of social security income tax, however, this is a move the Governor has rejected.
The State Legislature has a summer deadline to craft a two year budget for 2024 and 2025. Including the surplus, lawmakers will allocate more than $72 billion.