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Judi Lynn

(160,541 posts) Sat Feb 24, 2018, 08:40 PM Feb 2018

GOP tax law boosts income taxes, budgets in some states

Source: Associated Press

Melinda Deslatte and Geoff Mulvihill, Associated Press
Updated 3:35 pm, Saturday, February 24, 2018

BATON ROUGE, La. (AP) — The Republican tax overhaul is giving most Americans a break on their federal income taxes. But fallout from the same law means many people could actually see their state income taxes rise.

For some state governments, the prospect of getting more revenue without actively raising taxes is almost too good to be true, but it also forces Republican governors and lawmakers into a corner. Do they stay true to the party's long-standing tax-cut philosophy or keep the extra money rolling in to address their states' budget gaps and other spending priorities?

The answer so far in this year's still-young legislative sessions: It depends.

Pushes to reduce taxes have arisen in Republican-leaning states including Iowa, Michigan, Utah and Georgia, where the GOP governor has proposed cuts after initially insisting the state should wait.

Read more: https://www.chron.com/news/us/article/GOP-tax-law-leads-to-a-tax-hike-more-revenue-in-12705728.php

5 replies

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GOP tax law boosts income taxes, budgets in some states (Original Post) Judi Lynn Feb 2018 OP

Pushes to reduce taxes have arisen in Republican-leaning states BumRushDaShow Feb 2018 #1

Kansas RepubliCONS never learn progree Feb 2018 #2

What that article really doesn't mention is those weren't tax cuts for all in Kansas....... Bengus81 Feb 2018 #4

This article is confusing watoos Feb 2018 #3

As I understand it, several states allow you to deduct federal taxes from state taxes progree Feb 2018 #5

BumRushDaShow

(129,014 posts)

1. Pushes to reduce taxes have arisen in Republican-leaning states

Reply to Judi Lynn (Original post)

Sat Feb 24, 2018, 09:01 PM

Feb 2018

They better look at what happened to Kansas when Brownback did that.

progree

(10,908 posts)

2. Kansas RepubliCONS never learn

Reply to BumRushDaShow (Reply #1)

Sat Feb 24, 2018, 10:27 PM

Feb 2018

from the article:

Kansas has had deep budget problems for years, after the income tax cuts championed by former Gov. Sam Brownback, a Republican, failed to provide the economic stimulus he had promised. Last year, lawmakers agreed to raise taxes, and the state's top court ordered lawmakers to pump more money into public schools.

Mark Desetti, a lobbyist for the state's largest teachers union, said that's why the $505 million expected to come to the state over three years because of the federal tax changes is so welcome.

... But that might not be the course followed by the Republicans who control the Legislature. House Taxation Committee Chairman Steven Johnson said he is working on a bill that would allow people to itemize on their state taxes even if they don't on their federal returns.

Myself, I think red states that get more from the federal government than they send to the federal government should send any windfall they get from the TCJA back to the federal government to reduce the mismatch.

Bengus81

(6,931 posts)

4. What that article really doesn't mention is those weren't tax cuts for all in Kansas.......

Reply to progree (Reply #2)

Sun Feb 25, 2018, 10:34 AM

Feb 2018

While working class slobs got a meager BS cut Brownback took the Corporate rate to 0% for nearly FOUR years. Meanwhile the rest of us got not one but TWO State sales tax increases.

This "raising" of taxes in 2018 means Corporations start paying Kansas TAXES again,for the rest our tax rate is now the same as it was in 2013. Republicans ONLY decided to vote for this because they knew Kansas would be BK by 2018/2019.

But the TRUTH hasn't stop Koch ads on radio telling everyone how their taxes are going up 7% in 2018---TOTAL LIE.

watoos

(7,142 posts)

3. This article is confusing

Reply to Judi Lynn (Original post)

Sun Feb 25, 2018, 08:51 AM

Feb 2018

If I make 50k a year, and with Trump's tax cuts say I have less federal taxes deducted, so what, regarding state taxes?
I live in Pa. and it deducts appx. 3% from my 50k income, in other words, Pa. deducts 3% from my gross income, before deductions. How can the state of Pa. get back more income from me, I'm confused?

progree

(10,908 posts)

5. As I understand it, several states allow you to deduct federal taxes from state taxes

Reply to watoos (Reply #3)

Sun Feb 25, 2018, 11:03 AM

Feb 2018

And if federal taxes are lower, then so is the federal deduction on the state tax form, resulting in a higher state tax.

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