House Status:
Senate Status:
Senate Status:
Minutes for SB22 - Committee on Taxation
Short Title
Kansas itemized deductions, election, providing for deferred foreign income, global intangible low-taxed income, business interest, capital contributions and FDIC premiums income tax modifications.
Minutes Content for Tue, Feb 19, 2019
Adam Siebers, Assistant Revisor, provided an overview on SB22 noting the bill makes certain changes in the Kansas income tax code. SB22 amends personal income tax modification, corporate income modification and itemized deductions for individuals. He noted under the personal modification section there are three additional modifications, three corresponding subtraction modifications that relate to deferred foreign income, GILTI, and limitation of business interest.
Michael Austin, Kansas Policy Institute, testified as a proponent to SB22 stating the bill gives more choices to Kansans by allowing them to minimize their tax liability in order to keep more of their money. For businesses and their owners, SB22 exempts those access profits overseas to encourage more investment and a stronger Kansas workforce (Attachment 4).
Scott Roberti, State Tax Policy Leader, Stamford, Connecticut and Brian Liesman, Kansas State Income Tax Leader, Kansas City, Missouri testified as proponents to SB22 by providing an overview on Kansas taxation of corporate income, overview of the key Tax Cuts and Jobs Act provisions for multinational corporations, and the State response to select Tax Cuts and Jobs Acts provision dealing with transition tax and GILTI (Attachment 5).
Patrick Vogelsberg, Kansas Association of Realtors, testified as a proponent to SB22 stating the bill would allow Kansas income tax filers the ability to take state level itemized deductions regardless of whether they take the standard deduction or itemize on their federal returns (Attachment 6).
Natalie Bright testified in behalf of the Olathe Chamber of Commerce as a proponent to SB22 noting if Kansas doesn't move to allow decoupling as proposed in SB22, it will force some companies to move their work outside of Kansas to gain the tax benefit in friendlier states (Attachment 7).
Daniel Murray, National Federation of Independent Business testified as a proponent to SB22 stating that 95 percent of their business owners are pass-through entities meaning they file at the individual level. Most of the members probably can't benefit from the GILTI and repatriation pieces of legislation. This bill isn't just to support and handback tax dollars that belong to large multi-national corporations but also impacts individual filers including small businesses (Attachment 8).
Written testimony was submitted by the following as Proponents to SB22:
Jason P. Watkins, Wichita Regional Chamber of Commerce (Attachment 9)
Fredrick J. Nicely, Council on State Taxation (Attachment 10)
Michelle T. Wheeler, NextEra Energy Resources (Attachment 11)
Randy Stookey, Kansas Grain and Feed Association (Attachment 12)
Overland Park Kansas Chamber of Commerce (Attachment 13)
Mark Bolt and Damon Young, Mahaney Roofing Company (Attachment 14)
Casey Mussatto, Kansas Beer Wholesalers Association (Attachment 15)
Dan Watkins, Wichita Chamber of Commerce (Attachment 16)
Melissa Liby, Director of Finance, Bombardier Learjet (Attachment 17)
Jeff Glendening, Americans for Prosperity-Kansas (Attachment 18)
Nancy McLernon, President and CEO, Organization for International Investment (Attachment 19)
Opponents:
Emily Fetsch, Kansas Center for Economic Growth testified as an opponent to SB22 (Attachment 20)
Joey Hentzler, Kansas Appleseed Center for Law and Justice (Attachment 21)
Written testimony was submitted by the following as opponent to SB22.
Rabbi Moti Rieber and Rev. Sarah Oglesby-Dunegan, Kansas Interfaith Action (Attachment 22)
Brandi Fisher, Mainstream Coalition (Attachment 23)
Mark Desetti, Kansas National Education Association (Attachment 24).
Meeting adjourned at 5:15 p.m.
Next meeting scheduled February 20, 2019.
