The Journal Record
By Sean Murphy, Associated Press
Posted: 10:43 PM Tuesday, December 21, 2010
OKLAHOMA CITY – Oklahoma’s revenue collections improved enough over the last year to trigger a slight cut in the state’s top income tax rate in 2012, a panel of state leaders determined on Tuesday.
The State Board of Equalization voted 6-1 for a preliminary finding that state revenues have grown enough to reduce the state’s income tax rate from 5.5 percent to 5.25 percent. The board, led by the governor, must meet again in February to make a final determination that state revenues have grown by at least 4 percent in order to trigger the tax cut. At that time, the entire seven-member board will have been replaced with new members, including Republican Gov.-elect Mary Fallin.
Outgoing Democratic Attorney General Drew Edmondson cast the lone “no” vote, saying afterward he felt it was “the wrong time to be cutting taxes.”
“It’s a bad idea. It’s bad economics, bad government,” Edmondson said.
Figures presented to the board by the Office of State Finance show collections to the state’s general revenue fund are expected to total $5.1 billion during the next fiscal year, an increase of 4.4 percent over current-year collections. Despite the improvement in the state’s revenue collections, due largely from increased income and sales taxes, lawmakers are expected to have a budget hole of more than $226 million because of the one-time money used to craft last year’s budget... FULL ARTICLE
Posted on
Tue, December 21, 2010
by Crystal Drwenski