Senate Assessment & Taxation begin working on a new tax planDebbie Dyche
Senate Assessment and Taxation Committee Chair Senator Caryn Tyson (R-Parker) opened the door to dialog among the nine committee members during its special Monday afternoon meeting.
With the Senate falling three votes short of the override vote on HB 2078, the committee is now back to the drawing board as it works to craft a tax plan that can accomplish three key objectives:
- Close the projected budget gap for FY’18 and FY’19
- Generate additional revenue to respond to the Supreme Court ruling on Gannon
- Generate enough support in both the House and Senate to have a veto- proof majority
Areas for discussion include the LLC business exemption, with some members voicing concern about the impact on small business if changes are not phased in; personal income tax rates and adjustments, including discussions on how many brackets and where to set the tax rates; and finally, are also on the table. other potential sources of revenue including alcohol and tobacco taxes as proposed by Governor Brownback.
One proposal was to start with SB 215 which is a mirror to HB 2078 except it removes the retroactive portion of the personal income tax changes. That was met with some hesitation by the Chair and opposition from some members of the committee.
The discussion continues as the full Senate prepares to take up debate on SB 175 which is the Governors tax plan this afternoon.
While the plan is not expected to garner very much support, it may give some legislators opportunity to explore some of the tax ideas independently.