Gov. Sanders to call special session next week
by June 11, 2024 4:57 pm 46 views
It’s no surprise to capitol insiders, but Gov. Sarah Sanders announced Tuesday (June 11) that she will call a special session to start next week on Monday, June 17 for at least two purposes: tax cuts and a Game & Fish Commission budget.
She announced plans on Twitter Tuesday afternoon taking a shot at President Joe Biden, whom she opposes for re-election.
“I’m calling a special session to give Arkansans hurting from Bidenflation income and property tax relief. Next week, we will cut income taxes by nearly $500 million, property taxes by nearly $50 million, and fund @ARGameandFish. Democrats in DC are failing, but we are blazing a path to greater prosperity for our people,” Sanders tweeted.
State lawmakers adjourned last month from their fiscal session without approving the appropriation over the Arkansas Game & Fish Commission budget. Legislators were in dispute over a pay raise for the executive director.
There have been many conversations, publicly and privately, about personal and corporate income tax cuts as well as a potential one-time additional property tax refund. The state of Arkansas has a projected $708.1 million budget surplus in the fiscal year that ends June 30, 2024.
The governor will propose a 0.5% personal income tax reduction, bringing the state’s top rate from 4.4% to 3.9%. Sanders will also propose cutting the corporate income tax rate from 4.8% to 4.3%.
Sanders will also ask lawmakers to consider a transfer of $290 million to the Arkansas Reserve Fund Set-Aside in the Restricted Reserve Fund, effective July 2, 2024.
She will additionally ask the legislature to increase the homestead tax credit from $425 to $500, effective for assessment years beginning on or after January 1, 2024.
While still higher than the Federal Reserve target rate of 2%, U.S. inflation has declined in recent months from highs set in June 2022. The recent U.S. inflation rate was 3.5%, well below the 9.1% in June 2022..