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Kansas Gov. Brownback on Efforts to Phase Out State Tax

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    Gov. Sam Brownback, (R-Kan.), on efforts to do away with the state's income tax.

  • Duration 5:30
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My next guest has -- kansas' personal income tax rates with -- goal of eliminating the tax altogether but is now feeding push back.

From state lawmakers over proposals to eliminate deductions for homeowners.

Joining on the telephone to discuss Kansas -- tax plan as well as the blizzard currently slamming the region Kansas governor Sam Brownback.

Governor welcome -- great to have you tonight a -- that the weather is getting rough out there and you expanded the state of disaster emergency for -- this what the status.

Well its status as the snow continues to come down against note slow movie big system.

-- in the north Texas and Oklahoma and its -- -- now good side we're getting some moisture finally out of this drought bad side is.

We get a twelve -- the snow and hopefully.

We won't get many problems other level Woolsey.

What's the worst case scenario since this is quite unusual event for Kansas will there be school closures -- closures.

-- are we thinking.

Yeah we've got all sorts of school closures taking place course by the kids that's just fine that's more the more the better of that that our biggest concern really is just did that people have traffic fatalities not been able to do whether they get stranded.

Those -- -- he really watch out for had taken place fortunately laughs no we didn't have any -- talent -- Marty had one but this one now.

All right so people are well aware -- -- the warning out and fortunately the skiing is not so great in Kansas but to the upside you made the point about the needed moisture.

Wanna ask you about your axe the tax program how that agenda is being received -- a plan to eliminate income tax altogether.

You're going about it gradually.

And they participated in -- -- governors meeting.

This weekend well.

It feedback was good you know we've really gathered a year red state model -- going and there are a number of buses red states.

Going at this -- Nebraska.

Louisiana Texas is obviously already there.

And -- offset that compared to what.

Number the the big Blue States that are raising their tax rates.

We saw a record number of new business filings in Kansas last year.

And we're gonna keep pushing this 'cause I think this is the real growth.

Agenda and growth -- 75%.

Of the equation you've got to get growth happening in and that's what we're pushing and we're certainly see some of it happening.

So -- has already has a tenth lowest unemployment in the country how many.

New jobs in the private sector do you think eliminating the income tax would create.

Over time.

You could be in the hundreds of thousands but they give you a quick number last decade being in the highest tax state in this region.

We lost jobs over the whole decade from 2000 -- 2010.

We actually had a net loss of private sector jobs and -- out migration every surrounding state but Nebraska.

Now fortunately we get people moving in from California but we lose -- to Texas.

And what I'm trying to do is let's get the -- -- the overall growth happening.

I would start to see some of it but -- I think as we get this tax rate on down and then be able to get that message out there -- -- accelerated growth.

On the downside you do have some angry.

Colleagues both Republicans and Democrats.

Saying that the proposed elimination of deductions for property taxes mortgage interest benefits and you've got -- offset.

You know losing the income tax somehow but there are a lot of other lawmakers who -- comfortable with that plan.

It has some difficulties 'cause we're basically.

Trying to move to a flat tax burst and before right now rates on down and we went to zero immediately on all LLC and sub SN -- So zero taxes on any LLC yourself best.

In talent that's what's really tracked in the growth.

But you gotta get there -- some way and current when I started this job 40%.

Of the state government receipts of state income receipts not federal trance first with state receipts at the state level -- income tax.

He can't get there overnight or all at once and here's a plan for how it can move forward wanna keep the sales tax -- is right now.

-- -- know you happen to see us tax rate six point 3% as opposed to five point 7%.

It's not a huge change but it's enough where people hear about it governor that they're gonna rain in their -- -- cash that they might wanna throw out the economy.

-- it has an impact but I tell you if you could get that income tax rate down.

And sales tax are paid by people in state and out of state they're paid by people.

Participating in the economy and anyway.

And it's a much more stable form of of funding for government in the income tax which is highly erratic.

-- -- we think we got a good plan to have moved.

Overboard with that we're already seeing some good benefits from -- not without some trade -- are some some some mud difficulties but.

I'd like to do that and grow jobs residency in the decline.

And the thirty year decline we've had in the the percentage of our population our state ranking has.

As estate and we were 27 where -- 33 most populous states now headed the 35.

We got to change that trend line.

Well governor Brownback -- -- -- you and your agenda of course and most importantly good luck weathering the storm we'll check back with you governor Brownback Kansas thanks again.

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