LITTLE ROCK, Ark. – Gov. Sarah Huckabee Sanders signed a bill Monday morning that will cut taxes in Arkansas.
Sanders said that the measure will cut $150 million from personal income tax and $36 million from corporate income tax. The governor said that this will cover 1.1 million Arkansans.
This legislation will impact any taxpayer making more than $24,300 in the state. Lawmakers added that the rate of taxpayers making below $23,000 is set at 3.4%.
Sanders also mentioned that the state is phasing out the throwback tax. Manufacturers based in Arkansas currently must pay a tax when selling products outside of the state. Sanders said that getting rid of this tax will help businesses, jobs and investments in the state.
The governor said that this move is an attempt to make Arkansas as competitive as neighboring states. Tennessee and Texas are zero income tax states and Mississippi and Missouri recently passed what the governor called “historic tax cuts.”
“Today we’re taking another step to regain our competitive edge,” Sanders said. “All to make Arkansas the most attractive state in the country to live, to work and to raise a family.”
Sanders said that her administration will continue to cut taxes until the state phases out state income tax.