Governor Laura Kelly announced yesterday the veto of House Substitute Bill 1-69. The Bill, which would overhaul the State’s tax structure to establish a flat tax rate, would cost the state $1.3 billion over the next three years and put public education funding at risk. Governor Kelly also announced her proposal to spend the one-time budget surplus on a tax rebate of $450 for individuals and $900 for married taxpayers filing jointly. Kelly says the public schools are one of the biggest victims of the last tax experiment and would take a hit if this bill becomes law.
She added that the bill included a 5.15% flat income tax – or a single tax rate applied to all taxpayers. Just like with the “tax experiment” under Governor Brownback, the flat tax poses risks to funding for public education, roads, bridges, and other essential services. Middle-class taxpayers would see less than $100 in annual savings from the flat tax, but it would cost Kansans their public schools.
