Jan 31, 2024

NFIB-Kansas disappointed in Kelly tax veto

Posted Jan 31, 2024 12:35 PM

NICK GOSNELL
Hutch Post 

HUTCHINSON,Kan. — NFIB-Kansas State Director Dan Murray expressed his disappointment in Kansas Governor Laura Kelly's veto of a Republican-backed tax reform bill in comments made to Hutch Post on Tuesday.

"We think it's time for the legislature and the governor to send the hard earned taxpayer dollars back," Murray said. "The legislature did pass their legislative plan, which included provisions that we support. It lowers the rates on most, if not all, small business owners and simplifies the tax code for their compliance."

The legislature would need two thirds majorities in the House and Senate to override a veto.

"We think the legislature will attempt an override," Murray said. "It is questionable as to whether they can receive a majority, particularly in the Senate. We think they are probably one or two votes short. You know, we're going to ask them to come back to the drawing board and hopefully pass some legislation that will help small business owners back home."

The single tax rate plan had some real advantages for small business owners.

"Seventy-five percent of small business owners are pass through entities, which means they file at the individual level," Murray said. "Anything that reduces the burden at the individual rate level is something positive for small business owners. There are other things. We've asked the legislature to eliminate the sales tax on utilities for businesses. Residential does not pay sales tax on utilities, businesses do. We think it ought to be the same. That would be regardless of business type, tax relief across the board."

That relief would be relatively inexpensive for the state as well, as it is estimated to cost around $50 million, according to Murray.

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