By Howard Fischer |Capitol Media Services/Arizona Daily Star
A House panel approved tax relief Thursday for some individuals, even as state economists were telling lawmakers revenues are already insufficient to balance the budget this year, or for the next two.
HB 2001 requires the Department of Revenue to annually adjust tax brackets to account for inflation. Rep. Justin Olson, R-Mesa, said the move will ensure that taxpayers are not financially penalized simply because they got a pay hike to match inflation.
Olson estimated the loss to the state at $6 million a year.
