Economy On Upswing, Colorado Lawmakers Mull Tax Cut
DENVER (AP) — It’s a natural result of Colorado’s improving finances: Instead of arguing over budget cuts, state lawmakers are arguing over how to spend additional tax dollars.
The state Senate gave final approval Wednesday to a state version of the federal earned-income tax credit aimed at the working poor. The tax cut inspired a sharp partisan debate over whether the tax cut for about 15 percent of the population is appropriate.
Democrats argued that the tax cuts help lift working people out of poverty. Republicans countered that earned-income tax credits are ripe for fraud and are a subsidy to some who don’t earn enough to owe income taxes.
The bill passed on a 20-15 party-line vote and heads to the House.
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