(Reuters) – Nebraska Governor Dave Heineman on Tuesday became the second Republican governor in the last week to propose ending his state’s income tax, saying he wants to make Nebraska more competitive with its neighbors by eliminating the tax on both individuals and corporations.
Gov. Heineman has been discussing this plan with business owners, including farmers and ranchers, and indicates many are open to the idea. The feedback Heineman describes is quite interesting.
“You may be surprised, but many are willing to have that discussion,” Heineman said. “They want simplicity and fairness. They want a modern tax code that rewards productivity, profits and job creation rather than having their lawyers and accountants spending time mining the tax code for exemptions.”
Not to be outdone, Kansas governor Sam Brownback, who approved significant income tax reductions last year, affirmed his desire to ultimately eliminate his state’s income tax.
The Kansas City Star says “Kansas Gov. Sam Brownback swung for the fences Tuesday night, calling for even deeper income tax cuts while holding onto a penny sales tax that was intended to bridge the state through the recession.
“The Republican chief executive told lawmakers he wants to slash income taxes for the state’s lowest wage earners by more than a third while keeping the current state sales tax rate at the current level of 6.3 cents on the dollar.
Eventually, Brownback wants to phase out the income tax, as Texas has done.
“‘Look out Texas,’ he said in his annual State of the State address to the Legislature, ‘here comes Kansas.'”
Will North Carolina join the growing list of state’s willing to take the lead on pro-growth tax reform? If you hope so, you sign a petition at http://noincometaxnc.org/