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Kansas tax experiment a lesson for other states

Economists from both the conservative Tax Foundation and the liberal-leaning Center on Budget Policy and Priorities say that other states should learn lessons from Kansas’ income tax experiment, the Cleveland Plain Dealer reported. “The first lesson is that tax cuts don’t pay for themselves,” said CBPP’s Nick Johnson. Scott Drenkard of the Tax Foundation said other states should avoid Kansas’ exemption of certain business income, because it encourages people to reorganize their businesses simply to avoid state income taxes. In those cases, he said, the state won’t get the growth return. – Phillip Brownlee

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