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House Panel To Debate Tax Hike

Associated Press - May 11, 2015 6:51 am


A Kansas House committee is preparing to debate proposals for raising taxes to erase a budget shortfall.

The Taxation Committee planned Monday to discuss various revenue-raising proposals. Legislative researchers say lawmakers must eliminate a $422 million deficit in the state budget for the fiscal year beginning July 1.

Budget problems arose after the Republican-dominated Legislature aggressively cut personal income taxes at GOP Gov. Sam Brownback’s urging in 2012 and 2013 to stimulate the economy.

The state dropped its top rate by 29 percent and exempted more than 330,000 business owners and farmers from income taxes altogether.

The committee is reviewing a bill backtracking on the exemption for business owners despite Brownback’s opposition.

The committee also is considering higher taxes on alcohol and tobacco and increasing the state’s sales tax.

City of Salina