By Bob Christie | AZ Capitol Times
Republicans who control the Arizona Legislature are looking to enact more tax cuts just four years after the largest tax cut in state history turned state finances on their head and a $1.8 billion surplus into a deficit nearing half that size.
With the deficit now mainly gone and the state with a small surplus for the coming year after having to cut more than $1 billion to balance the current year’s budget, Democratic Gov. Katie Hobbs says she’s willing to negotiate on tax relief measures.
What she’s not interested in doing is signing off on one big cut passed by the Senate last week that would automatically cut income tax rates anytime the state has a structural surplus. Those cuts would essentially be locked in because, while cutting taxes takes only a majority vote, lawmakers must approve increases by a two-thirds vote.
