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Appeals court rules Michigan income tax cut not permanent

a close up of a typewriter with a tax return sign on it

Michigan’s Court of Appeals has ruled that an automatic income tax cut triggered in 2023 is not permanent.

Democrats say the cut was temporary, Republicans disagree.

Bridge Michigan reports that an appeal is likely in the Michigan Supreme Court. The tax cut was triggered last year by high state revenues, and the Appeals Court sided with the state Treasury Department and Democratic officials in a unanimous decision.

The ruling states there was no language to suggest that the reduced rate would become a new permanent default rate, which backs up a legal opinion made in March of last year by State Attorney General Dana Nessel.

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