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Minnesota Senate to Debate Adding Sales Tax to Clothes - Valley News Live - KVLY/KXJB - Fargo/Grand Forks

Minnesota Senate to Debate Adding Sales Tax to Clothes

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Minnesota's Senate is gearing up for debate on a plan to repeal the longstanding sales tax exemption on clothes. 

The Senate convenes Monday afternoon to take up its tax bill.

In addition to a new clothing tax, it raises income taxes on the state's highest earners. 

Under the plan, individuals who earn $80,000 and up and joint filers with taxable income above $141,000 would see their state rate jump from 7.85 percent to 9.4 percent.

The bill's author says that's about 6 percent of filers. 

The Senate plan goes further than separate proposals by Gov. Mark Dayton and House Democrats, who both increase income tax burden only for the top 2 percent.

The House tax bill does have an additional surcharge on a small slice of even wealthier people.

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