Lawmakers rush to pass tax alternative - The Iola Register iolaregister.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from iolaregister.com Daily Mail and Mail on Sunday newspapers.
The Kansas Legislature approved a new $1.57 billion tax plan after rejecting an earlier version proposed by the governor. The plan aims to reduce property, sales, and income taxes, utilizing a $4 billion revenue surplus. It includes changes to income tax brackets and deductions, as well as alterations to property tax and school funding.
The package includes eliminating the state’s 2% tax on groceries, repealing state income tax on Social Security benefits, and adjusting the amount of appraised value of a residence for public ed.
The Kansas House on a voice vote decided Thursday to send a three-year, $1.4 billion tax cut package back to House and Senate negotiators, overriding a call from House Speaker Dan Hawkins to pass the bill and defying guidance of Gov. Laura Kelly.
Top Republican lawmakers and the Democratic governor in Kansas have brokered a deal on cutting taxes. GOP leaders gave up on moving the state to a single-rate personal income tax that the governor strongly opposed. The Kansas House and Senate expected to vote on the compromise package Thursday or Friday, and Gov. Laura Kelly was expected to sign it if it reached her desk. The plan would save taxpayers about $1.4 billion over the next three years, but it is smaller than separate plans approved last month by each chamber. It would keep three personal income tax rates but drop the top rate from 5.7% to 5.5%.