A Kentucky nonprofit says a state earned income tax credit would help working families.
Kentucky Youth Advocates released an issue brief that says the credit would piggyback onto the federal earned income credit. That could yield up to $337 per applicant, with little to no administrative cost to state government.
The proposal could cost up to $134 million per year. But KYA Executive Director Terry Brooks says it would help pay for itself by putting money back into local economies.
“We know that families who get earned income credits are not going to take that refund and put it in their off-shore account. Instead, they’re going to be spending money at the local hardware store, at the local car repair shop, at the appliance store. They’re going to be taking their kids to the department store to buy them clothes for school.”
Neither Democratic nor Republican leadership is voicing support for comprehensive tax reform in the next year. But the earned income tax credit has bipartisan support on the federal level, and Brooks says the measure would likely enjoy the same in state government.
Since the beginning of the 1990's, the percentage of Kentucky's population comprised of immigrants has soared by more than 300%. While their overall number is still small, WKU economics professor Dr. Brian Strow says their effect is being felt and it's a net plus.
Strow's study shows immigrants locally have a higher employment percentage than native born people and a higher mean income. There's also a higher number who are self-employed.
Joe Corcoran spoke with Dr. Strow about the benefits of immigrant entrepreneurs.
WKU Economics Professor Susane Leguizamon talks about her research detailing the effects same-sex marriage could have on federal and state income tax receipts.
The debate over same-sex marriage is one that has heated up this year, with the Supreme Court striking down the Defense of Marriage Act (DOMA), which blocked the federal government from recognizing gay marriage. Seven states in 2013 saw same sex marriage legalized through court order, laws passed by state legislatures, or through popular vote.
WKU Economics Professor Susane Leguizamon has conducted some research about an aspect of same sex marriage that most people probably haven't thought about: namely, what would the impact of nationwide gay marriage be on federal and state income tax receipts?
The research conducted by Prof. Leguizamon and her two co-authors finds 23 state would see a new fiscal benefit from same sex marriage legalization, while 21 would see a decline. Seven states wouldn't be impacted in this way since they don't have income taxes.
You can request a copy of the research by emailing Prof. Leguizamon here.
Here are some excerpts from our conversation with Prof. Leguizamon:
How would same-sex marriage legalization impact the income tax revenues of the three states in our listening area: Kentucky, Tennessee, and Indiana?
Governor Beshear’s Communications Director Kerri Richardson says Beshear needs more information regarding future federal reimbursement and the level at which the facilities could be reopened before deciding on reopening federal parks like Mammoth Cave and Land Between the Lakes.
There’s no word yet from Governor Steve Beshear regarding whether he will use state funds to reopen national parks that have been closed due to the government shutdown.
The Obama administration says it will allow states to use their own money to reopen some national parks.
The Governors of Arizona, Colorado, South Dakota, and Utah have asked for authority to reopen national parks within their borders because of the economic impacts caused by the park closures. The closing of parks in Kentucky, such as Mammoth Cave National Park, has sent workers home and is a drag on local economies that benefit from tourists who visit the park and other nearby attractions.
Interior Secretary Sally Jewell said in a letter Thursday to the four governors that the government will consider offers to pay for park operations, but will not surrender control of national parks to the states.