LITTLE ROCK, Arkansas — The Arkansas Senate has endorsed a proposal to restore a capital gains tax break to a level approved in 2013.
Senators voted 24-9 Tuesday to send the bill to Republican Gov. Asa Hutchinson.
A Hutchinson spokesman didn't immediately say whether the bill would be signed into law, but the governor previously reworked his $5.2 billion budget to accommodate the tax break.
The bill would gradually raise the percentage of a capital gain that is exempt from the income tax to 50 percent. The change is projected to cost the state $6 million in the coming fiscal year and $11 million the following year. Proponents say the cut will be largely offset by normal revenue growth.