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Kansas Senate to consider tax increases to close budget gap

JOHN HANNA, AP Political Writer

TOPEKA, Kan. (AP) — The Republican-dominated Kansas Senate is considering a plan to raise taxes to close a projected budget shortfall.

The Senate’s debate Thursday was scheduled after GOP Gov. Sam Brownback said he isn’t drawing clear lines for lawmakers who are split over reversing one of his major economic initiatives.

Senators were considering a bill to repeal an income tax exemption for more than 330,000 business owners and farmers enacted in 2012 and replace it with a less lucrative tax credit against their payrolls. It also would increase the state’s sales, cigarette and motor fuels taxes.

The state must close a $406 million budget deficit for the fiscal year beginning in July. The gap arose after legislators cut personal income taxes in 2012 and 2013 at Brownback’s urging to stimulate the economy.

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