Laura Kelly Rejects Tax Cut Bill

Kansas Governor Laura Kelly Rejects Tax Cut Bill for 2023

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Kansas Governor Laura Kelly has vetoed a bill that would have implemented more than 20 tax policies, including a tax credit for anti-abortion pregnancy centers and businesses, like health clubs, competing with public accommodations.

Laura Kelly Rejects Tax Cut Bill
Laura Kelly Rejects Tax Cut Bill ( Photo: Kansas Reflector )

Kansas governor vetoes tax cut bill including a tax credit for anti-abortion centers and health clubs

Kelly said that Senate Bill 8 prioritized “tax breaks for big businesses over everyday Kansans and would harm the budgets of local governments and schools.” The legislation would have cost the state about $80 million annually if it had become law. Although Kelly supported some aspects of the bill, she criticized it for combining 12 bills, making it difficult to sort the bad policies from the good ones. The bill was the second tax cut package the Democratic governor rejected this year. In April, she vetoed a bill that combined some of her tax priorities with a 5.25% flat tax.

House Speaker Dan Hawkins, a Wichita Republican, criticized Kelly for rejecting the tax cuts, claiming that the governor was biased against helping vulnerable new mothers. Republican leaders have blamed Kelly for denying Kansans tax relief, despite the state’s large budget surpluses. Kelly’s office said that they had offered an alternative tax plan to Republicans, which included the elimination of all income tax on Social Security benefits, an increased standard deduction, and a child care tax credit.

Republican leaders said they were unaware of any proposal, calling it a “public gimmick” to distract voters from her veto

Kelly told reporters that the rejection of the flat tax was a victory for Kansans because it would protect the state’s fiscal health for years to come. “I’m not going to take any blame for the lack of tax cuts this year because I offered several very reasonable options for them,” Kelly said. “They just instead decided to go after something that was reckless and unreasonable,” she added. With lawmakers having left Topeka for the year, they won’t have the opportunity to attempt to override Kelly’s latest veto.

 

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