ST.PAUL, Minn. – Conferees from the Minnesota Senate and House agreed to tax rebate checks — starting at $260 per filer and maxing out for a family of five at $1,300. The checks will be from the state’s budget surplus. Eligibility varies. Rebates are only for people earning less than $75,000 on their own and $150,000 for married couples. The deal is part of a larger state budget bill. The bill will go to both houses in a few days, after conference committee lawyers work up precise language. Passage is as good as a done-deed. The bill also includes:
> $300 million in one-time aid to local governments for public safety.
> Property tax relief for renters and homeowners.
> Lower state income taxes on Social Security.
> Child tax credits aimed to child poverty.
Earlier: GOP now favors tax rebates, one-ups Walz
Earlier: Walz revamps budget: Bigger rebates, more services
Earlier: GOP grumbles at Walz budget: Where are tax cuts?
Political compromise
The idea of direct-to-taxpayer rebates began in 2022 when Democratic Governor Tim Walz proposed rebates of $2,600. Republicans bristled at the idea as political grand-standing and mocked the idea as “Walz Checks.” The totals came down as legislative tax-writers wrangled over spending priorities on what to do with the state’s revenue surplus, which since has grown to $17 billion.