In this article, the Toledo Blade offers some highlights from Governor Kasich’s two-year state budget proposal. The plan includes tax cuts, more vouchers for students, and much more:
COLUMBUS — Gov. John Kasich wants to slash taxes $1.4 billion over three years through a 20 percent cut in the income tax paid by individuals, a 50 percent cut in the income tax paid by small businesses, and a half-cent reduction in the state’s share of the sales tax to 5 cents on the dollar.
On top of that, all Ohioans and small businesses would share in $400 million in automatic income tax rebates for this calendar year because the new surplus-fueled balance in the state’s budget reserves is about to trigger a provision in state law that’s been dormant for about a decade.
The plan — announced today in Columbus — would at least partly be financed by a broadening of the sales tax base to include services not currently covered and by hiking taxes on an anticipated boon in natural gas and oil exploration. The governor argues that reducing the income tax for small businesses at a greater rate than individuals will free up capital for hiring and make them more competitive.
The sales tax base would be spread more widely to cover nearly everything but housing, education, medical, and construction spending. This includes a number of professional services like lobbying that former Republican Gov. Bob Taft tried to tax about a decade ago only to be confronted with a brick wall in the General Assembly.
Mr. Kasich last week announced his $15.1 billion, two-year funding plan for K-12 education. That plan would drive greater state support to poorer districts and would target funding toward programs for gifted, special needs, reading, and students for whom English is a second language.
It also expands the number of students eligible for vouchers to attend private and religious schools, increases support for charter schools, and creates a $300 million competitive grant program for schools tackling innovative cost-savings measures.
You can read the entire article here.