KEJA -- Move Kentucky Forward

Move Kentucky Forward

KEJA Calls on State Lawmakers to Enact Fair & Sensible Revenue Reform

Working with legislators and fiscal analysts, KEJA partners have developed a number of tax reform measures that would provide approximately $250 million annually in new investments in Kentucky’s schools, universities and other public structures, while directing $89 million back to working families earning less than about $40,000 a year. We can achieve these goals if we:

• Preserve the Estate Tax. Kentuckians did not choose to lose this revenue. Congress decided to subsidize people with multi-million dollar assets by phasing out the estate tax. This tax has cost Kentucky about $50 million a year and subsidized a tiny number of individuals with multi-million dollar assets. Estate Tax Fact Sheet

• Expand the Sales Tax to a limited number of services. The service sector is the fastest-growing sector of the economy. Updating our sales tax to include some services will put Kentucky in a better position to keep pace with these economic shifts. Sales Tax Fact Sheet

• Modify the top income tax brackets. The proposed adjustments would allow the wealthiest Kentuckians to contribute a bit more—for someone earning $75,000, it’s about the cost of two pairs of tennis shoes—to strengthen our investments in health care, education, and public safety. They’d still be contributing the smallest portion of their earnings, but the contributions would be in better alignment with incomes. Income Tax Fact Sheet

• Create a refundable state Earned Income Tax Credit. The EITC is considered the most effective anti-poverty strategy. The tax credit delivers benefits to low and middle income earners with children, helping to offset the lack of fairness in our overall tax system, and putting more money into local economies. EITC Fact Sheet

Our political leaders must show us that they have the courage and common sense to support this fair and sensible set of revenue reforms.

Let’s move Kentucky Forward. Take Action

This site was last updated on June 23, 2008