Taxes
6:04 pm
Tue May 28, 2013

House Turns Down Tax Compromise

The Kansas House has rejected a plan for cutting personal income taxes further and for setting the state's sales tax at 6 percent.

The vote Tuesday was 71-42 against the measure.

Republican legislative leaders said they're not sure of their next step.

The measure was drafted by House and Senate negotiators to reconcile differences on legislation following individual income tax cuts enacted last year.

Gov. Sam Brownback wants to raise new sales tax revenues to stabilize the budget. The tax is currently 6.3 percent but is set by law to drop to 5.7 percent in July. Brownback wants to leave the tax at the higher rate. The Senate supported Brownback's proposal but the House has wanted the sales tax to fall as planned. Tuesday's vote on a 6 percent tax was developed as a compromise.

GOP lawmakers' disagreements on taxes have blocked action on a proposed $14.5 billion budget for each of the next two fiscal years.