The House Education and Economic Development committees unanimously approved a bill Tuesday aimed at providing tax relief to lower- and middle-income families, but it is still unclear if the measure will survive the legislative session.

Top leaders in both the House and Senate have expressed doubts about House Bill 1049, a complicated measure that would adjust state income tax rates and more than double the standard deduction for income tax purposes for local residents.

The bill would also link state income tax brackets, personal tax exemptions and standard deductions to a cost-of-living index, a change that would help moderate state income tax increases as the cost of living goes up.

The bill would also make the state earned income tax credit, the food excise tax credit and the renters’ tax credit more generous. And it would create a new tax credit of up to $500 for public or private school teachers to help cover their out-of-pocket classroom expenses.

“This measure provides much-needed relief for our families who work hard every day to maintain their households and make ends meet,” said Rep. Daniel Holt, chairman of the Economic Development Committee, in a statement Tuesday. “By reducing the financial burden on families, we empower them to make choices that benefit our local economy and bring growth to our communities.”

The measure is a key part of Gov. Josh Green’s “Green Affordability Plan.” His administration has estimated it would reduce state tax collections by $312.7 million.

House Speaker Scott Saiki has expressed concerns the measure is so complex that it will be difficult to implement, and would also benefit high-earning taxpayers as well as lower-income residents.

Saiki has said the House focus this year is on expanding the state earned income tax credit, which exclusively benefits lower-income taxpayers.

HB 1049 now goes to the House Finance Committee for further consideration.

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