Ohio House Budget Reduces Income Tax Deduction, Includes Additional Money for Children's Services
The Ohio House version of the state budget is expected to including some major changes, especially for small businesses.
House Speaker Larry Householder (R-Glenford) said he wants to trim the income tax deduction that many one-person businesses and partnerships can take on the first $250,000 of their incomes. That’s amounted to more than a billion dollars a year. Householder wants to pull that back to the first $100,000 of income. And he also wants to look at what he calls special cutouts – breaks that both conservative and liberal groups have called out as potentially costly.
“I think there’s the motion picture tax, an exception for fractional ownership of airplanes – those types of things.”
Lawmakers had been advised by their economic researchers to cut the spending in DeWine’s budget by 25 percent. But Householder said this money will go to an income tax cut. Spending increases are expected toward children and the opioid crisis.