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House Finance advances millionaires income tax after amendments; committee votes 9–6 to report bill

House Finance Committee · February 27, 2026
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Summary

After hours of debate and multiple member amendments, the House Finance Committee on Feb. 27 reported engrossed substitute Senate Bill 63-46 (a 9.9% income tax on individual income above $1 million beginning 2028) out of committee with a due-pass recommendation by a 9–6 roll call. Members adopted several clarifying and exemption amendments and created an advisory implementation group.

The House Finance Committee voted 9–6 on Feb. 27 to report engrossed substitute Senate Bill 63-46 out of committee with a due-pass recommendation, advancing a proposal that would impose a 9.9% state income tax on individuals with federal adjusted gross income above $1,000,000 beginning in calendar year 2028.

Staff outlined the bill as imposing the 9.9% rate and dedicating 7% of revenues to city and county public defense services, expanding the working-family tax credit, adjusting business-and-occupation (B&O) credits, raising B&O filing thresholds, creating targeted sales-and-use tax exemptions (including for certain personal grooming products) and repealing several service taxes enacted last year. "There are a…

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