The top two percent of income earners will pay two percent more on a portion of their income. The per pack tax on cigarettes will rise by $1.60. Some corporate tax preferences will go away. But there won't be any changes to the alcohol tax.
Governor Mark Dayton, House Speaker Paul Thissen and Senate Majority Leader Tom Bakk say the agreement will pave the way for the Legislature to pass its budget before a mandatory Monday night adjournment to the session.
Dayton said Democrats made good on their promises. Republican House Minority Leader Kurt Daudt says Democrats broke a promise on paying back the school shift. Combined, the taxes will generate $2 billion more for Minnesota's two-year budget. But the leaders say there is $400 million in potential property tax relief in their plan.