Governor Proposes Income Tax Cuts

Governor John Kasich is proposing additional cuts to Ohio’s income tax and a 120-million dollar debt relief fund to help residents repay college loans. Among ways the republican Governor pays for the programs are a tax increase on oil-and-gas drilling and an increase in the tax on cigarettes from $1.25 to $2.25 a pack. Kasich said Monday that the budget allows more Ohioans to take early college courses, to access college and secure good jobs in the state. The plan caps tuition hikes at 2 percent the first year and freezes tuitions in the second year. The income tax rate would be cut by 23 percent over the next two years under the plan. The top rate would decrease from about 5.9 percent in 2011to 4.1 percent in 2017.