The Arkansas House today easily passed Rep. Matthew Shepherd’s HB1402 to restore all of a 2013 capital gains tax, which were somewhat rolled back as part of Gov. Asa Hutchinson’s income tax cut bill. Max has called this “the most unfair tax bill in history.”
This will add another $11 million to the $102 million in income tax cuts already passed.
Shepherd said it would be paid for through growth in revenue.
Gov. Hutchinson’s brother-in-law, Rep. Kim Hendren (R-Gravette), spoke against the bill, saying it was important to help job creators like him, but that entirely exempting capital gains of more than $10 million while not being able to find the money to support Rep. Warwick Sabin’s (D-Little Rock) Earned Income Tax Credit increase to help the working poor.
“It just bothers me a bit when we say we can’t afford it for low income folks, but we can for us fatcats,” Hendren said.
Sabin followed, noting that there were only 10 or 12 Arkansans who would take advantage of the $10 million exemption. He asked: Do we really want to pass something that will benefit 10 Arkansans while ignoring the hundreds of thousands of working poor?
Apparently so: The bill passed 68-17.