Baby steps
KAKE - Kansas House unanimously adopts bipartisan bill cutting property, income and sales tax burden
In my mind, it's never enough, but I'll take small steps in the right direction. Hopefully the Senate doesn't **** this up.
KAKE - Kansas House unanimously adopts bipartisan bill cutting property, income and sales tax burden
Kansas House Democrats and Republicans joined forces Wednesday to unanimously approve a bipartisan bill slicing hundreds of millions annually in state income, sales and property taxes with an eye toward dodging a veto by Gov. Laura Kelly.
During debate on the package Tuesday evening, lawmakers affirmed reductions in income tax rates paid by earners in three brackets - a deliberate avoidance of the Kansas Senate GOP’s preference for a single-rate, flat-tax plan opposed by the Democratic governor. Kansans earning less than $7,000 would no longer pay state income tax, while people making $7,000 to $30,000 would see rates fall from 5.25% to 5.2% and those taking in more $30,000 would have their rate cut from 5.7% to 5.65%.
Under Senate Bill 300, the standard deduction on state income taxes would be raised 3% and tied to changes in the annual rate of inflation. Personal exemptions to state income tax would be elevated and linked to inflation, but with a two-year sunset to allow for adjustment if the economy faltered.
The state income tax on Social Security benefits would be eliminated starting in the 2024 tax year rather than phased out over four years per the original House bill. An amendment to the House bill would terminate the state’s 2% sales tax on food on July 1 instead of Jan. 1.
The legislation would lower the state’s property tax for K-12 public education from 20 mills to 18 mills. In addition, the residential exemption on this piece of state property tax would be raised from $40,000 to $100,000. The original version of the bill would have doubled that exemption to $80,000.
The bill endorsed 123-o by the House moves to the Kansas Senate, where its fate was uncertain. House Speaker Dan Hawkins, R-Wichita, urged Kelly to sign the bill if it reached her desk.
“I don’t know if you all are having the same feeling I am,” Hawkins said. “But I gotta tell you, I am really proud of the House of Representatives. Really amazing what happens when everybody works together. I don’t have any other words to say, except, thank you. You guys are awesome.”
During debate on the package Tuesday evening, lawmakers affirmed reductions in income tax rates paid by earners in three brackets - a deliberate avoidance of the Kansas Senate GOP’s preference for a single-rate, flat-tax plan opposed by the Democratic governor. Kansans earning less than $7,000 would no longer pay state income tax, while people making $7,000 to $30,000 would see rates fall from 5.25% to 5.2% and those taking in more $30,000 would have their rate cut from 5.7% to 5.65%.
Under Senate Bill 300, the standard deduction on state income taxes would be raised 3% and tied to changes in the annual rate of inflation. Personal exemptions to state income tax would be elevated and linked to inflation, but with a two-year sunset to allow for adjustment if the economy faltered.
The state income tax on Social Security benefits would be eliminated starting in the 2024 tax year rather than phased out over four years per the original House bill. An amendment to the House bill would terminate the state’s 2% sales tax on food on July 1 instead of Jan. 1.
The legislation would lower the state’s property tax for K-12 public education from 20 mills to 18 mills. In addition, the residential exemption on this piece of state property tax would be raised from $40,000 to $100,000. The original version of the bill would have doubled that exemption to $80,000.
The bill endorsed 123-o by the House moves to the Kansas Senate, where its fate was uncertain. House Speaker Dan Hawkins, R-Wichita, urged Kelly to sign the bill if it reached her desk.
“I don’t know if you all are having the same feeling I am,” Hawkins said. “But I gotta tell you, I am really proud of the House of Representatives. Really amazing what happens when everybody works together. I don’t have any other words to say, except, thank you. You guys are awesome.”
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