OK Lawmakers Pass Bill To Take Back Part Of Tax Reduction
OKLAHOMA CITY - The state senate nixed a planned "tax cut" as they scramble to bridge a massive budget deficit.
Back in 2014, the legislature approved a two-part state income tax reduction package. On Monday, lawmakers passed a bill to take part of it back.
The legislature is facing a roughly $900-million budget deficit, and lawmakers say they simply can't afford the promised income tax break. The first break lowered the sales tax rate from 5.25 percent to 5 percent. This one would have lowered the rate to 4.85 percent.
"Repeals the language for the next tax cut leaving our current income tax at the present rate of 5.0 percent. We'll leave it to a future legislature to decide whether income tax needs to be cut further," said Sen. Roger Thompson (R-Dist. 8).
The income tax cut would have cost the state about $97-million. The bill now moves to the State House of Representatives.