Current:Home > ScamsOklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea. -Elevate Capital Network
Oklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea.
View
Date:2025-04-13 03:05:09
OKLAHOMA CITY (AP) — Oklahoma Gov. Kevin Stitt renewed his pitch on Thursday for lawmakers to reduce the state’s individual income tax rate, but not all of his Republican colleagues in the Legislature are sold on the idea.
On the first day of a special session to consider Stitt’s call for a tax cut, the Senate voted to adjourn with no plan to return after Stitt declined an invitation to explain his proposal to the Senate Appropriations Committee.
Stitt’s absence underscores a growing tension between the second-term governor and the Republican-controlled Legislature that has largely centered on Stitt’s deteriorating relationship with the tribal nations based in Oklahoma.
“It’s not like he was out of the country. It’s not like he was out of the state. He was downstairs,” said Senate President Pro Tempore Greg Treat. “I saw his plan: cut spending, cut taxes. I have yet to see him present a budget that does the first part of that.”
While the Senate Appropriations Committee was preparing to meet to discuss the implications of a tax cut on state revenues, Stitt held a press conference with House Speaker Charles McCall and longtime anti-tax activist Grover Norquist in which the governor advocated for a 0.25% reduction to the state’s top individual income tax rate of 4.75%.
“I’ve asked for tax cuts. I’ve asked for tax fairness,” Stitt said. “Getting these things over the finish line are going to be wonderful for all 4 million Oklahomans, to slow the growth of government.”
McCall said House Republicans are prepared to support an income tax cut, but the Senate has been much more cautious in its approach to tax cuts.
Oklahoma’s revenue collections in recent years have reached all-time highs, fueled in large part by increased revenue from oil and gas production taxes and an infusion of federal COVID relief and other funds. But there are signs revenue collections are beginning to slow down, and some Republicans are concerned that cutting taxes could put the state on precarious financial footing if that trend continues.
The state’s individual income tax collections made up about one-third of the state’s $13.3 billion tax collections last year, and a 0.25% reduction is estimated to cost the state about $240 million annually.
Several GOP-led states have pushed for aggressive tax reductions that swept across states last year and have continued into 2023 — even as some warn that it might be wise for states to hold on to record large surpluses amid economic uncertainty.
Oklahoma also has an unusual provision added to its state constitution by voters in 1992 that any tax increase must be approved by a three-fourth’s vote of both legislative chambers, a feature that makes it extremely difficult to raise taxes during times of economic hardship.
With a hole in its budget of more than $1 billion in 2018 and a looming walkout of public school teachers, the Republican-led Legislature narrowly approved an increase in taxes on motor fuel, tobacco and energy production that has also played a role in the state’s growing revenue.
veryGood! (46921)
Related
- Mega Millions winning numbers for August 6 drawing: Jackpot climbs to $398 million
- TikToker Cat Janice Shares “Last Joy” With 7-Year-Old Son Amid Her Rare Sarcoma Cancer Battle
- AP Decision Notes: What to expect in the race to replace George Santos
- Steve Scalise returning to Washington as another Mayorkas impeachment vote expected
- FACT FOCUS: Inspector general’s Jan. 6 report misrepresented as proof of FBI setup
- Polyamory has hit reality TV with 'Couple to Throuple.' Expect to challenge your misconceptions.
- NBA trade tracker: Gordon Hayward, Bojan Bogdanovic, Patrick Beverley on the move
- Everything You Need for that Coastal Cool Home Aesthetic We All Can’t Get Enough of
- Taylor Swift makes surprise visit to Kansas City children’s hospital
- Biden aides meet in Michigan with Arab American and Muslim leaders, aiming to mend political ties
Ranking
- Where will Elmo go? HBO moves away from 'Sesame Street'
- AP Decision Notes: What to expect in the race to replace George Santos
- Will Lester, longtime AP journalist in South Carolina, Florida and Washington, dies at age 71
- Brittany Mahomes Shares Message on Being Unapologetically Yourself While Making SI Swimsuit Debut
- American news website Axios laying off dozens of employees
- Gina Rodriguez brings baby to 'Not Dead Yet' interview, talks working as a new mom: 'I don't do it all'
- The Daily Money: Are they coming for my 401(k)?
- Gambling addicts face tough test as Super Bowl 58 descends on Las Vegas and NFL cashes in
Recommendation
How to watch new prequel series 'Dexter: Original Sin': Premiere date, cast, streaming
Man who diverted national park river to ease boat access on Lake Michigan convicted of misdemeanors
A year after Ohio derailment, U.S. freight trains remain largely unregulated
Super Bowl is a reminder of how family heritage, nepotism still rule the NFL
Taylor Swift makes surprise visit to Kansas City children’s hospital
Brittany Mahomes Shares Message on Being Unapologetically Yourself While Making SI Swimsuit Debut
SEC reported nearly $853 million in revenue in 2023 fiscal year, new tax records show
Does Nick Cannon See a Future With Mariah Carey After Bryan Tanaka Breakup? He Says...