TOPEKA, Kan. – Kansas Governor Sam Brownback has signed a multi-million dollar tax bill into law, refusing to call the largest tax increase in Kansas history an actual increase in taxes.
So when is a tax increase not a tax increase?
That’s the latest debate swirling around the $384 million package that boosts Kansas sales and cigarette taxes to balance the budget.
It took lawmakers 23 days over the normal 90 day legislative session to pass the tax bill. Some lawmakers, who signed no tax pledges, said they were bullied into going back on their word. Only six out of 53 lawmakers rejected the tax increase, which the Governor said was necessary to fund the budget.
The tax bill includes a $.50 hike on cigarette taxes, and a sales tax increase from 6.15 percent to 6.5 percent. The bill raises $384 million, but still leaves a $50 million shortfall, which the Governor has not addressed.
The Governor claims it still adds up to a net savings for tax payers, pointing out that in 2012 income taxes were slashed.
But not everyone agrees.
“I’m not getting any benefit out of the income tax deduction because I don’t make enough to pay taxes anymore since I am retired,” said Ron Cox of Johnson County, who will have to dip into his savings to pay the increase in taxes. “I’m not looking forward to paying more taxes that is for sure.”
Others like Dana Black don’t have the luxury of savings to rely on. She isn’t looking back to 2012. Black just knows more money will be coming out of her pocket beginning July 1. She said she is already having trouble paying her bills and can’t afford the increase.
Victor Martinez, a single father, is also worried about the sales tax increase, and says he will start shopping in Missouri.
Meanwhile, Brownback insisted that those who criticize his plan to tax consumption rather than productivity haven’t given it enough time to work.
CLICK HERE to read more on the Governor’s tax increase.
