The current house version of a state income tax needs a lot of work before it's fair to all Alaskans. For Example. There should be a deduction for Residents with a primary occupancy homeownership who already pay local property taxes in Alaska. The workers in the higher tax brackets spend money at the local businesses for items like a new furnace or repairing housing damages. This only one example of many economic engines that drives the infrastructure that supports the existence of the jobs and services at the lower tax brackets. What do we do? No Income Tax This Year. Hold hearings in each district. Get input. If a state income tax is needed, it will be a better bill because of having Alaskans participating in how the bill is written.