“These tax savings will put more money in the pockets of over 2 million middle-class Minnesotans and benefit thousands of businesses across our state,” Dayton said in a statement, referring to the combined impact of both rounds of tax changes.
Minnesota is among a handful of states that have seen a significant tax rebound since a start-of-the-recession peak, according to a recent Pew analysis. Revenues in Minnesota surpassed their 2008 peak in 2011 and were up 20.6 percent by the final quarter of last year. Only North Dakota and Illinois posted a larger bump.
In a spring survey of state legislative fiscal offices, 23 states reported significant tax changes discussed during this year’s legislative session. Missouri and Oklahoma passed individual income tax cuts, while Indiana reduced corporate taxes.