Kansas Gov. Brownback’s tax plan ends mortgage deduction
Taxes Friday, January 13th, 2012
By: BRAD COOPER AND MARK DAVIS, KansasCity.com
TOPEKA — Gov. Sam Brownback on Thursday proposed a money-saving $14 billion budget for 2012-13 that he said would be a boon for Kansas businesses and taxpayers.
And since it’s 4 percent less than the current spending plan, it would leave some money in the bank — $465 million.
“If we didn’t learn in this last crisis that an ending balance was important, then we weren’t paying attention,” said Steve Anderson, the state’s budget director. “The budget’s all about fiscal stability, the tax plan is all about economic prosperity, and the two are married.”
A day earlier, Brownback unveiled a sweeping remake of the state’s tax code, slashing rates but also eliminating deductions many Kansans rely on to lower their tax bills. Home mortgage interest payments and contributions to charities, for example, would no longer be deductible.
Low-income Kansans also would lose the earned income tax credit that provides a tax refund even when they don’t owe taxes.
Brownback’s proposed business tax changes would leave more money in the hands of owners with the expectation that they would reinvest in Kansas companies, benefiting the local economy and ultimately the state’s tax collections.
To read more, visit: http://www.kansascity.com/2012/01/13/3368110/kansas-gov-brownbacks-tax-plan.html
Short URL: http://www.reteaparty.com/?p=5553
