$1.45 Billion tax hike or broken promises coming in January

[Ross]

The very same thing is happening right here in Elk County
County commissioner giving away $100,000.00 with no authority to do so and then raising your property taxes.
Corruption in my opinion!

School Board and or School Superintendent violating Kansas State Law raising our property taxes illegally.
More Corruption in my opinion!

Grossly inefficient also my opinion!

How can you expect better from State and Federal Government if you don't demand better in Elk County?

See and start reading this thread: http://www.cascity.com/howard/forum/index.php/topic,11780.6980.html or go to the beginning of the thread and read all about corruption !

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$1.45 Billion tax hike or broken promises coming in January

Dave Trabert September 12, 2016

Regardless of who is elected to the 2017 Legislature, January will bring turmoil and major disappointment for many Kansans.  Very few candidates in either party say the structural budget deficit should be resolved by making government efficient, even though Kansas spends 34 percent more per-resident than the states without an income tax and could balance the budget by going from being morbidly inefficient to grossly inefficient.  Many candidates and special interests say Kansas needs to spend a lot more money (the time-honored way to get elected) and many of them at least imply that taxing small business will unlock the spending spree.

But the math doesn't work, so those promising big spending increases either don't know the math doesn't work and won't be able to deliver on their spending promises or they aren't saying that they also plan to stick you with a very large tax increase.

You wouldn't know it from media reports but 71 percent llc-valueof the net change in income taxes are benefiting individuals; only 29 percent is attributable to the exemption on pass-through income for small business.  The Kansas Department of Revenue puts the tax impact of that exemption at $211 million using the most current data but estimates the value would now be between $195 million and $200 million since guaranteed payments to those business owners have since become taxable.

LLC tax only puts reserves in the bank

Most candidates promoting big spending increases also say government should be fiscally responsible.  And since the current Legislature and many before it routinely ignored the statutory requirement to maintain minimum reserve levels (7.5 percent of General Fund spending), they surely would want reserves built back up before spending more money.  After all, it's the lack of reserves that wreaks havoc when revenue estimates are missed, and the media and many candidates rightfully say that shouldn't happen.

If all goes as planned this fiscal year, Kansas would finish with a $96 million ending balance, which is $375 million less than statutorily required for planned spending.  Funding everything on candidates' and special interests' wish list could add another $50 million or so to the requirement, so eliminating the tax exemption on pass-through income (the so-called LLC tax) wouldn't fund a penny of new spending for at least two years – it would all be needed to meet statutory ending balance requirements.

$1.25 billion vote-for-me revenue shortfall

Since few candidates are calling for government to operate efficiently and re-imposing the LLC tax would be absorbed by ending balance requirements, the only option to fulfill the vote-for-me spending extravaganza is an enormous income tax increase on individuals.  There may be even more that's been proposed but we've already identified $1.25 billion in vote-for-me money.

Read proposed Questionnaire and Read more at: https://kansaspolicy.org/1-45-billion-tax-hike-broken-promises-coming-january/

[Ross]

                                                                                              

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