SB 1507

<b>Digest: The Act updates the tie date to the federal Internal Revenue Code and other federal tax laws. Disconnects from certain federal tax laws. Increases the amount of the earned income tax credit. Makes a new tax credit for new jobs. (Flesch Readability Score: 67.6).</b> [<i>Digest: The Act would reduce income taxes and other taxes if the state collects a retail sales tax. (Flesch Readability Score: 70.1).</i>] [<i>Reduces taxes imposed under various tax programs, operative conditioned upon imposition of a statewide retail sales tax dedicated to specified purposes. Directs the Department of Revenue to estimate the revenue lost to tax reductions and to direct an equal amount of revenue to various purposes.</i>] <b>Updates the connection date to the federal Internal Revenue Code and other provisions of federal tax law. Increases the amount of the earned income tax credit allowed as a percentage of the federal earned income tax credit. Disconnects from, and requires addback of amounts for, federal provisions allowing deductions of personal auto loan interest and bonus depreciation and allowing exclusion of gain from small business stock. Applies to tax years beginning on or after January 1, 2026. Creates a personal income or corporate excise tax credit for a taxpayer creating new jobs in the tax year. Applies to tax years beginning on or after January 1, 2026, and before January 1, 2032.</b> Takes effect on the 91st day following adjournment sine die.