Corporate Income Tax Bill Dismantled

Senate Finance dismantled the Corporate Income Tax modernization proposal passed by the House last year, leaving only a $9 million increase in corporate income taxes. Testimony from an experienced tax attorney raised concerns about the Alternative Tax Minimum that led the Committee to remove that section. The Committee also removed the Single Sales Factor, which is the driving component of the bill. Without Single Sales Factor, the bill stands to raise over $9 million in corporate income tax on Vermont businesses, a proposal the Committee knows the Governor will not support. Committee members that help businesses instead of Single Sales Factor which would create a revenue neutral tax proposal.