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Bismarck, N.D. (AP) North Dakotans may be getting a $100 million income tax cut.

Gov. John Hoeven's budget proposal to the Legislature would reduce income tax rates across the board.

North Dakota has five income tax brackets. Under current law they range from 2.1 percent to 5.54 percent of taxable income.

Hoeven's proposal would reduce the rates in all five brackets.

The bottom tax bracket would drop to 1.68 percent, and the top bracket would decline to 5.12 percent.

Hoeven says the lowest-income taxpayer would see his or her income tax bill drop by 20 percent. The highest bracket would get an 8 percent reduction.

North Dakota's budget has a projected surplus of more than $1.2 billion.

(Copyright 2008 by The Associated Press. All Rights Reserved.) APNP 12-03-08 1007CST | save this article / add to your favorites list