In contrast to the major tax shift currently being contemplated in North Carolina (or the major tax hike currently being contemplated in South Carolina), leaders in Kansas are proposing something unheard of in modern day American politics: An honest to God tax cut.
Led by Gov. Sam Brownback, Kansas has already chopped its top marginal rate from 6.45 percent to 4.9 percent – and is weighing a further cut which would bring it down to 3.5 percent. Eventually Brownback wants to take the state’s income tax rate all the way to zero – joining nine other states which do not levy an individual income tax (a.k.a. the tax which is paid by most small business owners).
And while Brownback has been forced to adopt temporary sales tax increases (and the elimination of certain deductions) to plug “initial revenue holes” – according to The Financial Times – his long-term plan calls for the relief to be paid for with economic growth.
Imagine that!
“This is not an experiment,” Brownback told FT. “I can take you to jurisdictions throughout America and around the world. Any time you have a lower tax entity around higher tax entities, over time people move to the lower tax place.”
That’s true … and there is no tax relief which drives economic growth quite like income tax relief.
Kansas has figured it out … when will the Carolinas?
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18 comments
Dear Bobby Harrell and Harvey Peeler……………
Wil Folks can talk about KANSAS all he wants too; but we would really like to KNOW why there was no mention of OIL or gas tax revenue in the “Wizard of OZ”….? What ENERGY di the great and powerful OZ use to power the emerald city…??
Bobby and HArv…..what size slippers do you wear…??
Dear Bobby Harrell and Harvey Peeler……………
Wil Folks can talk about KANSAS all he wants too; but we would really like to KNOW why there was no mention of OIL or gas tax revenue in the “Wizard of OZ”….? What ENERGY di the great and powerful OZ use to power the emerald city…??
Bobby and HArv…..what size slippers do you wear…??
lol!
“And while Brownback has been forced to adopt temporary sales tax increases […] his long-term plan calls for the relief to be paid for with economic growth.”
BZZZZZZZZZT!
http://www.kansascity.com/2013/01/15/4012878/brownback-keep-full-sales-tax.html
“Kansas Gov. Sam Brownback swung for the fences Tuesday night,
calling for even deeper income tax cuts while holding onto a penny sales
tax that was intended to bridge the state through the recession.”
Of course, what if the penny sales tax and the resulting economic “boom” aren’t enough to pay for killing the income tax? What will he cut then? What taxes will he raise? The courts already killed his attempt to gut education by hundreds of millions of dollars, and he’s OK with an increased sales tax, so that should give quite the indicator.
lol!
“And while Brownback has been forced to adopt temporary sales tax increases […] his long-term plan calls for the relief to be paid for with economic growth.”
BZZZZZZZZZT!
http://www.kansascity.com/2013/01/15/4012878/brownback-keep-full-sales-tax.html
“Kansas Gov. Sam Brownback swung for the fences Tuesday night,
calling for even deeper income tax cuts while holding onto a penny sales
tax that was intended to bridge the state through the recession.”
Of course, what if the penny sales tax and the resulting economic “boom” aren’t enough to pay for killing the income tax? What will he cut then? What taxes will he raise? The courts already killed his attempt to gut education by hundreds of millions of dollars, and he’s OK with an increased sales tax, so that should give quite the indicator.
The same old GOP approach — cut progressive taxation on incomes and adopt a regressive option via sales taxes. The well-to-do benefit and wage earners suffer. Let’s see how those ” temporary sales tax increases” play out.
The same old GOP approach — cut progressive taxation on incomes and adopt a regressive option via sales taxes. The well-to-do benefit and wage earners suffer. Let’s see how those ” temporary sales tax increases” play out.
And like Texas, they will simply shift the tax burden down a notch and hike fees, and oh there will be fees for everything.
And like Texas, they will simply shift the tax burden down a notch and hike fees, and oh there will be fees for everything.
the tax cuts will be paid for by future economic growth? i don’t see any way that could possibly go wrong. the guy is a genius. we should try that nationally. oh wait…. we did?…..never mind
the tax cuts will be paid for by future economic growth? i don’t see any way that could possibly go wrong. the guy is a genius. we should try that nationally. oh wait…. we did?…..never mind
As a Kansan I’d really like to applaud your novel use of The Wizard of Oz when talking about Kansas, it is a fresh and innovative approach to framing the article and I totally forgot that that movie from 1939 took place in my home state.
James….we also want to give you props too. The tactics used by Mr. Wil Folks are breaking new reporting ground. His wizardry got your juices going to add your input..!
As a Kansan I’d really like to applaud your novel use of The Wizard of Oz when talking about Kansas, it is a fresh and innovative approach to framing the article and I totally forgot that that movie from 1939 took place in my home state.
James….we also want to give you props too. The tactics used by Mr. Wil Folks are breaking new reporting ground. His wizardry got your juices going to add your input..!
He could have been President, but instead the GOP opted for Senator McCain in 2008.
Lucky us.
He could have been President, but instead the GOP opted for Senator McCain in 2008.
Lucky us.
Folks that creat jobs benefit and folks paid under the table pay at the register, not that the FAIR tax hasn’t been offered up before. Sam understands how to introduce it and let folks see that it works. The Emperor is proud
Folks that creat jobs benefit and folks paid under the table pay at the register, not that the FAIR tax hasn’t been offered up before. Sam understands how to introduce it and let folks see that it works. The Emperor is proud