House Cuts Budget and Tax Shifting

The House Finance Committee produced an omnibus amendment this week that cut state spending and eliminated the tax shifting proposed by the Kasich administration.

The governor had proposed paying for reductions in the personal income tax rate by increasing other taxes, most notably the sales tax. The OMA and other business groups advocated against this tax shifting.

The House also tightens the belt of state spending. Its plan would spend $133.2 billion over two years, $2.5 billion less than the governor’s proposal.

Here is an excellent overview by the Cleveland Plain Dealer of the changes made by the finance committee. The full House will act on the bill next week.  4/27/2017

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