[ad_1]
The state director for the National Federation of Independent Business says the Commonwealth’s small business community is looking for some legislative remedies. Tom Underwood said one bill requires the State Revenue Department to put all working documents and guidance on taxation on their website. He said that could reduce so-called “gotcha audits.”
“But this will make it more clear what it is they’re actually looking for when you file your taxes. How are you supposed to fill that form out. What all is required, so when they come in you can go I’ve done everything that you’ve asked me to do,” said Underwood.
Underwood said currently there is some guessing when it comes to tax filings because there are shifting priorities at the Revenue Cabinet periodically. The small business representative said another measure calls for the elimination of the limited liability entity tax for businesses with less than $100,000 gross revenue annually. And a third calls for the exemption of a 1% tax on health insurance premiums to expand to cover small businesses.
The long-time leader of the small business umbrella organization in Kentucky said continuing cuts in the state’s income tax rate remains of interest to many of his members. Underwood said the Legislature’s tax strategy is not a hurried approach, which he supports.
“Obviously we don’t want to do what Kansas did where they basically slammed their hand in the door and said ok we’re not doing income tax anymore, we hope this will work. I think they’re doing a measured approach and I think it’s well thought out,” said Underwood.
The state income tax dropped from 4 and a half percent to four percent this year. The General Assembly approved-trigger mechanism doesn’t call for a further cut next year.
* WEKU is working hard to be a leading source for public service, and fact-based journalism. Monthly supporters are the top funding source for this growing nonprofit news organization. Please join others in your community who support WEKU by making your donation.
[ad_2]
Source link