Kelsey proposes a massive overhaul of the state tax structure

KelseyTOPEKA – Sen. Dick Kelsey, R-Goddard, compared Kansas’ tax structure as a house that had been added on to over the years.

“It's an alright home, it functions you can live in it but it is not like a home that has been designed to do what we do best and live in,” he said.

The solution, he maintained, was a comprehensive overhaul of the state’s tax structure which he unveiled Thursday afternoon.

The highlights of his idea include:

* Repealing the state’s corporation income tax, which would cost the state $255 million

* Exempting food purchases (although not food at restaurants-) from the sales tax

* Reduce the state sales tax rate to 5.3 percent, eliminating the three-year, one cent sales tax increase that went into effect July 1

* Tax services and eliminate most sales tax exemptions except for health related services such as nursing homes and prescription drugs. (more…)