Kansas Gov. Laura Kelly announced Wednesday that she will call a special legislative session to consider tax cuts, beginning June 18.
The move comes after the Democratic governor rejected three Republican tax-cut plans this year, setting up a key election-year fight with the Republican-controlled Kansas Legislature.
“I am committed to working with the Legislature to deliver responsible, sustainable tax cuts for all Kansans,” Governor Kelly said in a statement. “The special session provides an opportunity for bipartisan collaboration on comprehensive tax cuts that don’t threaten Kansas’ strong fiscal footing. By working together, we can reach compromises quickly and put more money back in Kansans’ pockets.”
Kansas Governor vetoes bill that would crack down on foreign land ownership
Lawmakers this month sent a bill to Governor Kelly that would cut income, sales and property taxes by more than $1.45 billion over three years. Governor Kelly vetoed the bill after the legislative session ended, blocking lawmakers from ignoring her proposal.
Kansas Gov. Laura Kelly answers reporters’ questions during a press conference in a second-grade classroom at Elmont Elementary School, Monday, April 24, 2023, in Topeka, Kansas. (AP Photo/John Hanna)
Kelly and Republican leaders agreed to eliminate the state income tax on Social Security benefits for retirees making more than $75,000 a year, cut state property taxes on schools and end the state’s already-expired 2 percent sales tax on groceries six months early, effective July 1.
But nearly half of the tax cuts in the latest bill were related to changes to personal income taxes: The state’s top tax rate would have been 5.57% instead of the current 5.7%.
Republican leaders are growing increasingly frustrated after they appear to have made major concessions, such as abandoning a plan to change Kansas’ personal income tax rate from three to one.
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All 40 Senate seats and 125 House seats are up for grabs this year, and Democrats are hoping to defeat Republican supermajorities in both chambers. Both parties believe voters will be outraged if they don’t get broad tax cuts after state coffers pile up.
