State tax receipts approached $1 billion for January, but they were short of expectations.
Overall tax collections were at $$928.6 million, 6.5 percent below estimates and over 11 percent behind January 2023.
Individual income tax receipts, almost $476 million, were almost 4 percent below estimates and the January 2023 total. Corporate income tax receipts at $90 million were 22 percent below projections and down 46 percent from the year earlier. Combined retail sales and compensating use tax receipts at $19 million were 5 percent below projections and almost 5 percent from January 2023.
Republicans in both chambers are working to override Kansas Governor Laura Kelly’s veto of their income tax plan, which relies on a 5.25-percent rate on income taxes above the first $6,150 for single residents or $12,300 for married couples, along with eliminating state taxes on Social Security, exempting the first $100,000 in state property taxes. The governor’s plan, unveiled shortly before the Republican plan, also eliminates taxes on Social Security and exempts the first $100,000 in state property taxes but it keeps the current tax rates in place.
There are indications the override effort may have enough votes to pass in the House but not in the Senate. A two-thirds majority is needed in both chambers to override a veto.
