Idaho House unanimously passes unemployment tax cut bill

Idaho House unanimously passes unemployment tax cut bill
Posted at 12:34 PM, Jan 16, 2018
and last updated 2018-01-16 14:37:03-05

A bill to cut unemployment taxes for Idaho employers is quickly making its way through the Statehouse. 

The House voted 69-0 to pass the legislation Tuesday morning. 

The bill was introduced in the House Revenue & Taxation Committee Thursday and passed unanimously out of the committee on Monday. 

The bill now heads to the Senate side for approval. 

If it passes, the proposal introduced Thursday is expected to save employers a total of $115 million over the next three years by reducing a key component in how Idaho calculates the unemployment insurance tax rate. It would also reduce the cost of unemployment insurance taxes by 30 percent.

Gov. C.L. "Butch" Otter and officials with the Idaho Department of Labor say the change is needed because the trust fund Idaho uses to pay unemployment benefits has more money than it needs to survive an economic crisis. Currently, the fund is on track to have roughly $1 billion by 2020.

The Associated Press contributed to this article.