TOPEKA, Kan. (AP) — Three Republican senators are proposing a bill to reinstate income taxes for more than 330,000 Kansas business owners.
The Senate Tax Committee reviewed the proposal Thursday as lawmakers try to address the state’s $290 million budget deficit in an election year.
State budget officials say reinstating the tax on farmers and business owners would bring in an estimated $170.6 million in fiscal year 2017. The bill would tax 70 percent of their income.
The Wichita Eagle reports business groups strongly oppose reversing the tax exemption. Democrats and others say the bill doesn’t go far enough to solve the state’s budget problems.
Gov. Sam Brownback proposed the tax exemption as part of a package slashing personal income taxes in 2012 and 2013, which he said would stimulate the state’s economy.
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