Today, the Senate will debate SB 175 - the Governors Tax Plan on General Orders.  The Senate session begins at 2:30 p.m.  You can listen to the debate at www.kslegislature.org by selecting "Listen to the live proceedings in the Senate".

Click here to read the bill description.

Passive income received from rents and royalties would be subject to income tax beginning with tax year 2017.  The bottom individual income tax bracket would remain at 2.7 percent - rather than the scheduled reduction from 2.7 percent to 2.6 percent. The community services contribution income tax credit also would be repealed beginning with tax year 2018. 

The annual report fee paid to the Secretary of State for all for-profit business entities would be increased from $40 to $200 beginning in FY 2018.  The fee would apply to all shareholders and partners owning at least 5.0 percent of business entities.

Liquor Enforcement Tax Provisions - The rate of the liquor enforcement tax would be increased from 8.0 percent to 16.0 percent on July 1, 2017. 

Cigarette Tax Provisions - The cigarette tax rate would be increased from $1.29 to $2.29 per pack on July 1, 2017. An inventory tax (floor tax) of $1.00 per pack would be imposed on cigarettes on hand as of July 1 and would be payable as of October 31, 2017. 

Tobacco Products Tax Provisions - The tobacco products tax rate would be increased from 10.0 percent to 20.0 percent of wholesale on July 1, 2017.  An inventory tax (floor tax) equivalent to 10.0 percent of wholesale relative to tobacco products on hand as of July 1 would be payable as of July 31, 2017.