House approves small across-the-board income tax reduction amid clarifying questions

House Bill 235, described on the floor as an income and commercial tax cut covering all taxpayers, cleared final passage on March 2, 2026. Representative Kristofferson presented the measure, saying it reduces the income tax rate and that the fiscal note reflects a multiyear impact. Early floor comments by Representative Tom Peterson sought to clarify the sponsor’s numbers; an exchange on the floor confirmed the final rate change.

Representative Kristofferson characterized the proposal as a broad, fiscally sustainable cut that ‘covers all the taxpayers’ and said initial fiscal estimates show the change is manageable within the current revenue outlook. Representative Tom Peterson asked if the sponsor would yield; after a brief back-and-forth in which Peterson and Representative Stoddard asked for clarification, Kristofferson confirmed the bill reduces the rate from 4.50% to 4.45, describing it on the floor as “a cut of 0.5 basis points from 4.5 to 4.45” and noting the first-year retrospective impact and multiyear fiscal implications.

After the clarifying exchange the House opened voting and HB 235 passed the body with 55 yes and 14 no votes; the bill will be sent to the Senate for consideration. The floor record shows the House prioritized clarifying numerical language and fiscal impact before final passage.