Now Kansas Looks to Ditch Its Income Tax
Tax cuts would be offset by sales tax, ending mortgage deduction
By Mark Russell, Newser Staff
Posted Jan 24, 2013 7:07 AM CST
Kansas Gov. Sam Brownback greets lawmakers as he enters the house chambers to deliver his State of the State address Tuesday, Jan. 15, 2013, at the Statehouse in Topeka, Kan.   (AP Photo/Charlie Riedel)

(Newser) – Two weeks after Bobby Jindal proposed putting an end to state income taxes in Louisiana, Kansas appears to be headed in the same direction, albeit a little more slowly. Gov. Sam Brownback's plan, introduced yesterday, would reduce and eventually eliminate state income taxes, reports the Wichita Eagle. As of this month, the state has two income-tax brackets—4.9% and 3%; his intention is to drop those to 3.5% in 2017 and 1.9% by 2016, respectively.

But to balance Kansas' $14 billion budget, Brownback wants to maintain a 0.6-cent sales tax increase that had been scheduled to end in a few months and eliminate the real estate tax and mortgage deductions. As the New York Times observes, Kansas' House, Senate, and governor's chair are all controlled by Republicans—but the state's Republican House speaker still thinks the cuts will "be a hard sell." Supporters say trimming the income tax will create jobs, while critics argue that unlike other income-tax-less states like Florida (a tourist destination) and Texas (home to much oil), Kansas lacks a significant supplemental revenue stream.

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Showing 3 of 37 comments
Jan 27, 2013 5:01 PM CST
That would kill most businesses near any state line. But it would boost the economy on the other side. I'm all for it though. It would be nice for the feds to mostly drop income tax and we all just got taxed on what we bought. Then we can still work hard and make a lot of money, but only pay more taxes if we wanted a lot of shit.
Jan 25, 2013 12:38 PM CST
Maybe Phil Nickelson can leave his beach front home here in CA to go post up in a cornfield in Kansas, then he can stop bitching about having to pay state taxes.
Jan 25, 2013 12:04 PM CST
they dodge their income tax responsibilities the dont get federal benefits period