Another plan to balance the state’s budget was rejected by state lawmakers Monday. Kansas Senate leaders are split on whether to raise the state sales tax to 6.5 percent. Senate President Susan Wagle says, at this point, every option is on the table.
Negotiators in the House are also struggling to agree on a budget proposal. Republican Gene Suellentrop, vice chair of the House Tax Committee, says the key issue is whether to raise income taxes on businesses.
The legislature passed a law in 2012 exempting more than 300,000 Kansas businesses and farms from income taxes. Governor Brownback says he’ll veto any hike on small business income taxes, which were eliminated under his leadership in 2012.