Commission’s Recommended Changes in Base Definition
Tax Study Commission recommended
- Changes to provide more appropriate tax-free amounts
- Larger personal exemptions, $2,500 each (or $125 credit)
- Larger standard deductions, $3,500 and $7,000
- Changes to promote horizontal equity
- End additional exemptions based on age and blindness
- Tax Social Security to the extent the federal tax does
- End deductions of $6,000 for those aged 62-64 and $12,000 for those aged 65 and over
- Replace low-income credit with EITC at 20% of federal EITC