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Economy and Business


Ohians will face a new income tax cut this year
The cut is not expected to have much impact on the majority of people's income
by WKSU's STATEHOUSE CORRESPONDENT BILL COHEN


Reporter
Bill Cohen
 
In The Region:

No matter what happens with Gov John Kasich’s proposal for a major tax shift, Ohioans are poised to get a $400 million cut in the state income tax this year. The virtually automatic tax cut is being triggered by revenues coming in beyond what’s needed to shore up Ohio’s rainy day fund.

But many Ohioans may not even notice the tax break’s impact on their own wallets. At least that’s what a think-tank on the political left is saying. Zach Schiller of Policy Matters Ohio outlines his group’s research.

Ohians will face a new income tax cut this year

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Cohen on the tax cut extended version

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“The fifth of Ohio taxpayers in the middle of the income spectrum on average would see a tax cut of $36 a year. That’s less than a tank of gas. Those in the bottom fifth will see just a $2 cut. Those in the top 1 percent meanwhile, on average would see a reduction of more than $1,900 a year.”

Policy Matters and other advocates for government social welfare programs want Ohio legislators to block this latest income-tax cut. The activists say the money would be better spent on schools, universities, cities and programs for elderly and poor people.

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