Governor Signs ‘Historic’ Tax Cut
Thursday, June 10, 2010
Gov. Don Carcieri signed a major tax cut into law yesterday, reducing the top marginal rate from 9.9 percent to just under 6 percent.
The new law also increases the standard deduction for single adults and married couples and cut the number of income tax brackets from five to three.
“Today, Rhode Island has a new and compelling story to tell. While many other states have increased taxes to make up for revenue shortfalls, we have rejected that approach,” Carcieri said. “Seizing the opportunity to stand out from the rest, we are reducing our tax rates and sending a clear message to our citizens, businesses, and neighbors that we are serious about improving our tax competitiveness.”
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLASTState lawmakers also applauded the tax cut.
“This significant tax reform legislation sends a loud and clear message to all other states that Rhode Island is aggressively seeking to attract business, create new job opportunities and ensure that our economy is moving in a positive direction,” said House Speaker Gordon Fox.
“It is equitable, with the vast majority of Rhode Islanders paying the same or less in income taxes,” added Senate President M. Teresa Paiva-Weed. “And it maintains the progressive income tax structure, while making the state more attractive to businesses that need to attract top talent and high wage earners.”
