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Kansas Lawmakers to Consider Reinstating Business Taxes

Photo by Stephen Koranda

Kansas legislative committees will begin debating tax plans this week as they look to fill a budget hole of more than $400 million. One idea would roll back part of a tax cut on business income. The 2012 tax law completely eliminated income taxes for more than 300,000 business owners. But that plan will create some disagreement in the Republican Party. Republican Representative Ken Corbet wonders if raising the business tax will discourage business growth in Kansas.

“By raising taxes, do you still think it will make Kansas a leading place for growth and for people to want to come and raise their family, retire and start a business? Because money walks,” says Corbet.

Republican Senate President Susan Wagle has said eliminating the business income taxers created an unfair system where employees have to pay income taxes while business owners don’t.

Legislative staffers said last week that they don’t have hard numbers on how much the tax cut may have grown business in Kansas.

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