The Kansas House today (THUR) rejected a bill that would have made permanent last year’s sales tax increase. Last session, the Legislature increased the state sales tax from 5.3 to 6.3 percent, for a period of three years. The bill in the House would have kept the higher sales tax rate and lowered personal and corporate income tax rates. Income taxes would have eventually been eliminated. Representative Richard Carlson, a St. Marys Republican, said lowering income tax rates would help spur economic growth in Kansas.
Opponents of the legislation said lawmakers would be going back on a promise to keep the sales tax increase temporary. The House also rejected a bill that would have repealed the 1-cent sales tax increase.