State Income Tax Cut Plan Clears Senate Panel
OKLAHOMA CITY (AP) — A plan to reduce the top personal income tax rate beginning Jan. 1 has cleared a Senate committee, and the sponsor of the bill says the measure will recoup some of the estimated $172 million in lost revenue from the cut.
The Senate Finance Committee voted 8-2 on Tuesday for the bill by Oklahoma City Republican Sen. Kyle Loveless. It next heads to the full Senate.
The bill reduces the top individual income tax rate from 5.25 percent to 5 percent, beginning Jan. 1, with a trigger to further reduce the rate to 4.85 percent in 2016 if certain revenue conditions are met.
Loveless says his plan is to offset much of the lost revenue by eliminating some personal deductions.