Current:Home > NewsOklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea. -TradeBridge
Oklahoma’s Republican governor wants to cut taxes. His GOP colleagues aren’t sold on the idea.
View
Date:2025-04-15 23:31:00
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! (2)
Related
- Why Sean "Diddy" Combs Is Being Given a Laptop in Jail Amid Witness Intimidation Fears
- Is it true or not? Israeli group FakeReporter fact checks while seeking shelter
- 49ers QB Brock Purdy lands in concussion protocol, leaving status for Week 8 in doubt
- Scott Disick Introduces Adorable New Family Member
- Will the 'Yellowstone' finale be the last episode? What we know about Season 6, spinoffs
- Richard Roundtree, Shaft actor, dies at age 81
- Genius Bar who? Skip the Apple Store line with new rules that make fixing iPhones easier
- UAW reaches tentative deal with Ford: Sources
- The White House is cracking down on overdraft fees
- Israeli hostage released by Hamas, Yocheved Lifshitz, talks about ordeal, and why she shook her captor's hand
Ranking
- Could your smelly farts help science?
- Blac Chyna and Boyfriend Derrick Milano Make Their Red Carpet Debut
- DeSantis administration moves to disband Pro-Palestinian student groups at colleges
- Israel accuses UN chief of justifying terrorism for saying Hamas attack ‘didn’t happen in a vacuum’
- The Grammy nominee you need to hear: Esperanza Spalding
- Rachel Zegler Brings Haunting Hunger Games: Ballad of Songbirds & Snakes Songs to Life in Teaser
- Real Housewives of Beverly Hills' Dorit Kemsley Breaks Silence on PK Divorce Rumors
- Active shooter situation in Lewiston, Maine: Police
Recommendation
Whoopi Goldberg is delightfully vile as Miss Hannigan in ‘Annie’ stage return
'The Walking Dead' actor Erik Jensen diagnosed with stage 4 cancer: 'I am resilient'
Clarence Thomas loan for luxury RV was forgiven, Senate Democrats say
Turkey’s central bank opts for another interest rate hike in efforts to curb inflation
The Best Stocking Stuffers Under $25
California man wins $82 million from state's jackpot, largest winner in more than a decade
Apple announces price increase for Apple TV+ and other Apple subscription services
'All the Light We Cannot See': What to know about Netflix adaption of Anthony Doerr’s book