Social Security tax repeal on hold as other options considered

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The House and Senate are still far apart on removing the state tax on social security benefits, and any compromise won't likely until after other bills are decided.

Rep. Craig Headland, R-Montpelier, says the House usually won't single out a group for tax relief, but will try to help everyone. The House version would keep $21 million in the pockets of North Dakota seniors.

The Senate version-$2.2 million. Sen. Jim Dotzenrod, D-Wyndmere, says if the bill survives, the tax break will be higher than what the senate passed.

“I'm kind of expecting the next time we meet in another day or two that we'll get an offer from them to go up a little bit,” said Dotzenrod.

“We're not against that completely but if there's a mechanism or a way for us to provide the broad tax relief for everybody, that's the direction we'd like to go,” said Headland.

Headland says he wants to move forward with a proposal to use Legacy Fund earnings to offset income taxes, similar to HB 1530.

The House passed the bill, but the Senate overwhelmingly voted against it. Headland’s proposal is being revived on the Tax Commissioner’s budget.