Lawmakers announce full repeal of tax reform bill

Governor Gary Herbert and members of the Utah Senate announced a full repeal of the tax reform bill on Thursday.

“In recent weeks, it has become clear that many people have strong concerns regarding legislation passed in December to restructure and revise our tax code,” a statement read.

Recently volunteers worked to gather the nearly 116,000 signatures needed to stop the Tax Reform Bill passed by lawmakers in a December special session and push it to the November ballot.

They collected over 152,000 signatures.

“They expressed their concerns by signing a petition to include a referendum on the ballot later this year. We applaud those who have engaged in the civic process and made their voices heard. We are not foes on a political battlefield, we are all Utahns committed to getting our tax policy right. That work is just beginning.”

According to the statement, when the 2020 general legislative session opens Monday, legislative leaders will introduce a bill to repeal the changes made in the special session.

“The intention is that the bill will be ready for the governor’s signature before the completion of the first week of the session.

Once the repeal is signed into law, the legislature will begin work under the reinstated tax code to prepare the fiscal year 2021 state budget.

Repealing S.B. 2001 will enable the legislature to draft the budget without the uncertainty of a referendum potentially changing the tax code midway through the budget year.”

S.B. 2001 Raises sales tax on a variety of items such as groceries and tax while lowering the state income tax.

“The original challenge we worked to address lies before us still. Crafting the right policy is critical to our state’s long-term success,” the Utah Senate statement read.

“Utah has never shrunk from a challenge and, working together, we will chart the right path forward.

We will take time to reset and address this issue in the future in a way that allows all Utahns to fully understand the challenge we face, engage in the debate over the best solutions and, ultimately, enact policy that best positions Utah for decades to come.”

Story provided by our news partners at ABC 4 News.