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Kansas House endorses tax bill while protecting highway funds

Updated: 2013-03-21T05:14:29Z

The Associated Press

— Proposed cuts in Kansas’ sales and income taxes advanced Wednesday in the House, but members stripped out a key provision that would have diverted millions of dollars from the state highway system.

The House gave initial approval to the bill on an 82-37 vote. The tally suggested that Republican leaders will have enough votes to pass the measure on final action, scheduled for today.

The bill then would go to the Senate, which passed its own tax plan last week.

Republican Gov. Sam Brownback wants to further reduce income tax rates and position the state to phase out personal income taxes altogether.

Many GOP legislators share that goal but are split over Brownback’s proposal to make up some lost revenue by keeping the state sales where it is, rather than letting it drop as scheduled in July.

The House bill would allow the sales tax to decline, but the trade-off is both less aggressive cuts in income tax rates and greater budget uncertainty.

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