Current:Home > ContactOklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea. -WealthSpot
Oklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea.
View
Date:2025-04-24 21:27:25
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! (689)
Related
- This was the average Social Security benefit in 2004, and here's what it is now
- Florida prosecutor says suspect in deadly Halloween shooting will be charged as an adult
- Massachusetts Democrat Elizabeth Warren seeks third term in US Senate against challenger John Deaton
- Ohio set to decide constitutional amendment establishing a citizen-led redistricting commission
- Rams vs. 49ers highlights: LA wins rainy defensive struggle in key divisional game
- Beyoncé Channels Pamela Anderson in Surprise Music Video for Bodyguard
- Voters deciding dozens of ballot measures affecting life, death, taxes and more
- Democrats are heavily favored to win both of Rhode Island’s seats in the US House
- Why Sean "Diddy" Combs Is Being Given a Laptop in Jail Amid Witness Intimidation Fears
- Toss-up congressional races in liberal California could determine House control
Ranking
- EU countries double down on a halt to Syrian asylum claims but will not yet send people back
- South Dakota is deciding whether to protect abortion rights and legalize recreational marijuana
- Pete Davidson, Khloe Kardashian and More Stars Who Have Had Tattoos Removed
- GOP tries to break Connecticut Democrats’ winning streak in US House races
- A South Texas lawmaker’s 15
- NASA video shows 2 galaxies forming 'blood-soaked eyes' figure in space
- Selena Gomez Claps Back at “Sick” Body-Shaming Comments After Emilia Perez Premiere
- Democratic-backed justices look to defend control of Michigan’s Supreme Court
Recommendation
Opinion: Gianni Infantino, FIFA sell souls and 2034 World Cup for Saudi Arabia's billions
Democratic mayors in San Francisco and Oakland fight to keep their jobs on Election Day
Democrats hope to flip a reliably Republican Louisiana congressional seat with new boundaries
GOP Gov. Jim Justice battles Democrat Glenn Elliott for US Senate seat from West Virginia
'Survivor' 47 finale, part one recap: 2 players were sent home. Who's left in the game?
Soccer Player José Hugo de la Cruz Meza Dead at 39 After Being Struck by Lightning During Televised Game
GOP senator from North Dakota faces Democratic challenger making her 2nd US Senate bid
After Disasters, Whites Gain Wealth, While People of Color Lose, Research Shows