The Michigan Senate voted yesterday for a $2.5 billion annual tax cut, passing a bill that would reduce income and corporate rates and let taxpayers claim a credit for their children. The bill would cut the individual income tax rate from 4.25% to 3.9% and the corporate income tax rate from 6% to 3.9%. It would restore a $500 per-child tax credit and allow people ages 67 and older deduct more of their income from taxation.
