Editing Kansas (section)

===Taxes===
{{Main|Kansas Senate Bill Substitute HB 2117}}
Tax is collected by the [[Kansas Department of Revenue]].

Revenue shortfalls resulting from lower than expected tax collections and slower growth in personal income following a 1998 permanent tax reduction have contributed to the substantial growth in the state's debt level as bonded debt increased from $1.16&nbsp;billion in 1998 to $3.83&nbsp;billion in 2006. Some increase in debt was expected as the state continues with its 10-year Comprehensive Transportation Program enacted in 1999.

In 2003, Kansas had three income brackets for income tax calculation, ranging from 3.5% to 6.45%.

The state sales tax in Kansas is 6.15%. Various cities and counties in Kansas have an additional local sales tax. Except during the 2001 [[recession]] (March–November 2001), when monthly sales tax collections were flat, collections have trended higher as the economy has grown and two rate increases have been enacted. If there had been no change in sales tax rates or in the economy, the total sales tax collections for 2003 would have been $1,797&nbsp;million, compared to $805.3&nbsp;million in 1990. However, they instead amounted to $1,630&nbsp;million an inflation-adjusted reduction of 10%. The state sales tax is a combined destination-based tax, meaning a single tax is applied that includes state, county, and local taxes, and the rate is based on where the consumer takes possession of the goods or services. Thanks to the destination structure and the numerous local special taxing districts, Kansas has 920 separate sales tax rates ranging from 6.5% to 11.5%.<ref>{{cite web |title = Publication 1700 |url = https://www.ksrevenue.org/salesratechanges.html |website = Kansas Department of Revenue |access-date = April 4, 2018 |url-status = live |archive-url = https://web.archive.org/web/20180405025326/https://www.ksrevenue.org/salesratechanges.html |archive-date = April 5, 2018}}</ref> This taxing scheme, known as "[[Streamlined Sales Tax]]" was adopted on October 1, 2005, under the governorship of [[Kathleen Sebelius]].<ref>{{cite web |title = Streamlined Sales Tax—Kansas |url = http://www.streamlinedsalestax.org/index.php?page=kansas |website = Streamlined Sales Tax |access-date = April 4, 2018 |url-status = live |archive-url = https://web.archive.org/web/20180405090353/http://www.streamlinedsalestax.org/index.php?page=kansas |archive-date = April 5, 2018}}</ref> Groceries are subject to sales tax in the state. All sales tax collected is remitted to the state department of revenue, and local taxes are then distributed to the various taxing agencies.

As of June 2004, [[Moody's Investors Service]] ranked the state 14th for net tax-supported debt per capita. As a percentage of personal income, it was at 3.8%—above the median value of 2.5% for all rated states and having risen from a value of less than 1% in 1992. The state has a statutory requirement to maintain cash reserves of at least 7.5% of expenses at the end of each fiscal year; however, lawmakers can vote to override the rule, and did so during the most recent budget agreement.

During his campaign for the 2010 election, Governor [[Sam Brownback]] called for a complete "phase out of Kansas's income tax".<ref name="theatlantic_tax_experiment_dead_2017"/> In May 2012, Governor Brownback signed into law the '''Kansas Senate Bill Substitute HB 2117'''.<ref name="HB2117">{{cite web |title = Senate Substitute for HB 2117 by Committee on Taxation—Reduction of income tax rates for individuals and determination of income tax credits; severance tax exemptions; homestead property tax refunds; food sales tax refunds |url = http://www.kslegislature.org/li_2012/b2011_12/measures/hb2117/ |access-date = October 29, 2014 |url-status = live |archive-url = https://web.archive.org/web/20141030002120/http://www.kslegislature.org/li_2012/b2011_12/measures/hb2117/ |archive-date = October 30, 2014}}</ref> Starting in 2013, the "ambitious tax overhaul" trimmed income tax, eliminated some corporate taxes, and created [[Flow-through entity|pass-through income]] tax exemptions, he raised the sales tax by one percent to offset the loss to state revenues but that was inadequate. He made cuts to education and some state services to offset lost revenue.<ref name="stltoday_2013">{{cite news |url = http://www.stltoday.com/news/opinion/columns/the-platform/editorial-louisiana-s-lawmakers-realize-what-missouri-s-don-t/article_6995e1b3-f8d4-5748-bcde-57c1bf434be7.html |title = Editorial: Louisiana's lawmakers realize what Missouri's don't: Income tax cuts are suicidal |date = April 13, 2013 |author = Editorial Board |access-date = February 25, 2017 |url-status = live |archive-url = https://web.archive.org/web/20140820070334/http://www.stltoday.com/news/opinion/columns/the-platform/editorial-louisiana-s-lawmakers-realize-what-missouri-s-don-t/article_6995e1b3-f8d4-5748-bcde-57c1bf434be7.html |archive-date = August 20, 2014}}</ref> The tax cut led to years of budget shortfalls, culminating in a $350&nbsp;million budget shortfall in February 2017. From 2013 to 2017, 300,000 businesses were considered to be pass-through income entities and benefited from the tax exemption. The tax reform "encouraged tens of thousands of Kansans to claim their wages and salaries as income from a business rather than from employment."<ref name="WP_2017_revolt">{{citation |url = https://www.washingtonpost.com/news/wonk/wp/2017/02/22/republicans-real-live-experiment-with-kansass-economy-survives-a-revolt-from-their-own-party/ |title = Republicans' 'real-live experiment' with Kansas's economy survives a revolt from their own party |newspaper = The Washington Post |author = Max Ehrenfreund |date = February 22, 2017 |access-date = February 25, 2017 |url-status = live |archive-url = https://web.archive.org/web/20170224133856/https://www.washingtonpost.com/news/wonk/wp/2017/02/22/republicans-real-live-experiment-with-kansass-economy-survives-a-revolt-from-their-own-party/ |archive-date = February 24, 2017}}</ref>

The economic growth that Brownback anticipated never materialized. He argued that it was because of "low wheat and oil prices and a downturn in aircraft sales".<ref name="theatlantic_tax_experiment_dead_2017"/> The state general fund debt load was $83&nbsp;million in fiscal year 2010 and by fiscal year 2017 the debt load sat at $179&nbsp;million.<ref>{{Cite news|url=http://www.cjonline.com/news/local/2017-01-12/kansas-state-government-bond-debt-surges-2-billion-2010?start=2|title=Kansas state government bond debt surges $2&nbsp;billion since 2010|last=Carpenter|first=Tim|work=The Topeka Capital|access-date=May 2, 2018|archive-date=May 2, 2018|archive-url=https://web.archive.org/web/20180502211110/http://www.cjonline.com/news/local/2017-01-12/kansas-state-government-bond-debt-surges-2-billion-2010?start=2|url-status=live}}</ref> In 2016, Governor Brownback earned the title of "most unpopular governor in America". Only 26 percent of Kansas voters approved of his job performance, compared to 65 percent who said they did not.<ref>{{Cite news|url=https://morningconsult.com/state-governor-rankings/|title=America's Most (and Least) Popular Governors—Morning Consult|work=Morning Consult|access-date=May 2, 2018|archive-date=May 1, 2018|archive-url=https://web.archive.org/web/20180501103923/https://morningconsult.com/state-governor-rankings/|url-status=live}}</ref> In the summer of 2016 [[S&P Global]] Ratings downgraded Kansas's credit rating.<ref name="NYT_S&P_ratings_2017"/> In February 2017, S&P lowered it to AA−.<ref name="NYT_S&P_ratings_2017">{{citation |title = Kansas Lawmakers Uphold Governor's Veto of Tax Increases |first = Alan |last = Blinder |url = https://nyti.ms/2lwNatr |newspaper = The New York Times |date = February 22, 2017 |access-date = February 25, 2017 |archive-date = February 20, 2021 |archive-url = https://web.archive.org/web/20210220153324/https://www.nytimes.com/2017/02/22/us/kansas-governor-sam-brownback-tax-veto.html?smid=pl-share |url-status = live }}</ref>

In February 2017, a bi-partisan coalition presented a bill that would repeal the pass-through income exemption, the "most important provisions of Brownback's overhaul", and raise taxes to make up for the budget shortfall. Brownback vetoed the bill but "45 GOP legislators had voted in favor of the increase, while 40 voted to uphold the governor's veto."<ref name="WP_2017_revolt"/> On June 6, 2017, a coalition of Democrats and newly elected Republicans overrode [Brownback's] veto and implemented tax increases to a level close to what it was before 2013.<ref name="theatlantic_tax_experiment_dead_2017"/> Brownback's tax overhaul was described in a June 2017 article in ''[[The Atlantic]]'' as the United States' "most aggressive experiment in conservative economic policy".<ref name="theatlantic_tax_experiment_dead_2017">{{cite news |work = The Atlantic |url = https://www.theatlantic.com/politics/archive/2017/06/kansass-conservative-tax-experiment-is-dead/529551/ |title = The Death of Kansas's Conservative Experiment |date = June 7, 2017 |access-date = June 7, 2017 |first = Russell |last = Berman |url-status = live |archive-url = https://web.archive.org/web/20170612210830/https://www.theatlantic.com/politics/archive/2017/06/kansass-conservative-tax-experiment-is-dead/529551/ |archive-date = June 12, 2017}}</ref> The drastic tax cuts had "threatened the viability of schools and infrastructure" in Kansas.<ref name="theatlantic_tax_experiment_dead_2017"/>