Liberal, KS

Now: 86 °

Currently: Clouds

Hi: 86 ° | Lo: 56 °

Senate Reverses Course, Approves Tax Cuts

KSCB News - March 22, 2012 8:36 am

The Republican-controlled Kansas Senate approved a bill Wednesday to cut sales and income taxes, reconsidering the legislation only two hours after rejecting it in an apparent snub to GOP Gov. Sam Brownback. The bill, approved 29-11, is dramatically different to Brownback’s original plan to overhaul and simplify the individual income tax code in hopes of stimulating the state’s economy and creating jobs. The Legislature’s rules allow each chamber to reconsider an action within a business day, and the Senate’s reversal was enough for Brownback to proclaim significant progress toward his goal. "We are one step closer to hitting the accelerator on the emerging Kansas economy," Brownback said. "We must remain focused on the just cause of pro-growth tax reform — jobs and a brighter future for our children." Senators embraced Brownback’s proposals to cut the state’s top individual income tax rates and eliminate income taxes for 191,000 partnerships, sole proprietorships and other businesses. But they rejected his proposals to eliminate income tax credits and deductions, including a credit for poor workers and deductions for charitable contributions and interest payments on home mortgages. The Senate added a cut in the sales tax from 6.3 percent to 5.7 percent in July 2013. The action boosted the potential revenue loss to the state to an estimated $213 million during the fiscal year that begins July 1, growing to $829 million in the next year. In contrast, Brownback’s plan is expected to lower state revenues about $90 million annually. With the cost of the bill scaring some members, the Senate’s first vote Wednesday was 20-20, leaving it one vote shy of passage. Two hours later, nine GOP senators, including Senate President Steve Morris of Hugoton and Majority Jay Emler of Lindsborg, switched their votes. Morris said he and the other Republicans switched because they wanted to keep tax legislation moving.

 

Latest Stories

Floyd Donates Aircraft to the Air Museum

Long time Liberal Agricultural Aviator, Jim Floyd, has donated his airplane, a 1971 Grumman Ag Cat,...

Homeshow Pushes Close to 100 Vendors

The KSCB Springfest Home Show will take place this Saturday, April 27th, 10-6 and Sunday, April...

Karen Gomez-Najera Named LHS Valedictorian

The Liberal Chamber of Commerce Academic Banquet was Wednesday night at the Seward County Activity Center. ...

 
KSCB Radio News