Kentuckians to Pay $690 Million More in Taxes Each Year

UPDATE 12/7/2012

 The Kentucky Blue Ribbon Commission on Tax Reform met for the last time  yesterday, and will now prepare and submit final recommendations to Governor Beshear by December 15th.  The proposed taxes are expected to raise almost $700 million annually for the commonwealth.

According to mycn2.com, some of the final recommendations included:

- Taxing retirees’ public pensions starting after $30,000 instead of the $15,000 level, proposed earlier by the commission. The state currently taxes retiree pensions just above $41,000 dollars.

- $290 million is anticipated from "taxes on cigarettes, closing some corporate loopholes and applying the state sales tax to certain services and utility payments."

MyCN2.com reported that "Kentucky currently taxes income on six brackets at rates ranging from 2 to 6 percent. Everyone in the state earning more than $8,000 is taxed at a 5.8 percent flat rate and those making more than $75,000 rare taxed at a 6 percent rate."

The commission also voted for an Earned Income Tax Credit which would provide the lowest income residents with extra cash, according to MyCN2.com.  

Read the full report at: http://mycn2.com/politics/opening-bid-from-tax-commission-690-million-will-it-be-enough-or-too-much-for-lawmakers