Senate committee backs business tax cuts

An Arizona Senate committee split along party lines as it endorsed a Republican package of business tax cuts and tax breaks for creating new jobs.

With Democrats opposed, the Finance Committee’s 5-2 vote Monday sends the House-passed bill to the full Senate after discussion in party caucuses and a legal review.

The bill includes reductions in property, business equipment and corporate income taxes as well as new and extended tax credits and other tax breaks keyed to creating new jobs.

Supporters say the bill would diversify the economy and provide needed high-paying jobs by attracting business expansions and relocations. Critics say the bill is corporate welfare that would worsen Arizona’s budget troubles while shifting tax burdens to homeowners.