Add this to the things John Kasich and the GOP has yet to explain with their statewide push to abolish the Ohio personal income tax besides their complete inability to pay for it.
The repeal, in every reporting of it I’ve seen, is sold as being necessary to bring good-paying jobs like manufacturing jobs back into Ohio.
Except, also in every reporting of it I’ve seen, John Kasich, Recharge Ohio (his PAC), and the legislative leaders in the GOP are talking about repealing only the personal income tax, not any corporate taxes.? In other words, they’re waging a war on a tax?basically on wages that, in most cases, only employees, not employers, pay.
Some reason I doubt major manufacturing companies are staying out of Ohio for such benevolent reasons that they don’t want their employees to have to pay a state tax.
In fact, most States that don’t have an income tax actually have a much higher corporate tax rate than Ohio (in fact, Ohio has one of the lowest corporate tax rates in the nation, beating no-personal income tax states Alaska, Florida, New Hampshire, North Carolina, Texas, Tennessee, and Washington.)
The only no personal income tax States that beat Ohio are Wyoming and South Dakota, but that’s because those states also have no corporate tax either.
It’s hard to imagine how the corporate tax rate, sales tax, etc. aren’t hiked in some measure to pay for an income tax repeal.
So how exactly does this repeal make Ohio attractive to large employers again???