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Dayton vetoes tax bill

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Gov. Mark Dayton has vetoed a bill that would have aligned Minnesota's state tax code with federal changes passed last year.

The Democratic governor rejected the bill passed by the GOP-controlled Legislature with about 20 grade-school students standing behind him at a St. Paul school. Dayton said the bill tilted toward the wealthy and corporations.

But the governor also warned earlier this week that he wouldn't sign a tax bill without the Legislature addressing his request for emergency aid to schools.

The GOP tax proposal modestly cuts Minnesota income tax rates. Republicans argue that Dayton's education request came too late in the session.

8:25 a.m.

Gov. Mark Dayton is headed to a St. Paul elementary school to deliver a key veto as the Legislature nears the end of its session.

Dayton has pledged to veto the tax bill passed by the Republican-controlled Legislature. The state needs to make changes to conform to the big federal overhaul passed late last year so Minnesotans can avoid filing headaches - and possibly higher bills - next year.

Dayton has said the GOP bill tilts too far toward businesses and wealthier Minnesotans. He also said he wouldn't sign a bill without legislators approving his request for emergency school funding.

The GOP tax proposal modestly cuts Minnesota income tax rates. Republicans argue that Dayton's education request came too late in the session.

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