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Kasich Fires Back at Chamber of Commerce over Sales Tax Expansion

Wednesday, March 20, 2013 at 2:58 PM

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Gov. John Kasich is actively defending his budget, which includes some provisions that Democrats like and his fellow Republicans oppose. Statehouse correspondent Karen Kasler sat down with the governor to talk about his budget and the opposition raised yesterday by one of his top backers. This is part of an exclusive one-on-one interview with Kasich. Listen for more from that interview this week. The full interview will air on The State of Ohio on PBS stations and at Statenews.org this weekend.

There are many things on which the Ohio Chamber of Commerce and Gov. John Kasich agree. And they both say that the income tax cut in the governor’s budget is a good thing. But Dan Navin with the chamber says it doesn’t like the way the tax cut is being paid for.

NAVIN: “The chamber was concerned that the proposed expansion of the sales tax to virtually all business and professional services, and the proposed tax increase on one specific group of taxpayers—drillers of horizontal oil and gas wells—would result in an overall unhealthy shift in tax burden to Ohio employers.”

With one of his key backers opposing that key provision in his budget, Gov. Kasich is speaking out for it:

KASICH: “Tax reform is always something – ‘don’t tax me, tax the guy who’s hiding behind the tree.’ And so, this is just the usual, just the usual kind of hubbub around the issue of tax reform.”

Kasich says those who oppose his ideas are free to criticize them, but he wants them to propose some of their own. As for his budget’s chances of passing, he says – quoting here - “I’m hopeful we’re going to get there, but it’s always a bumpy ride.”

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Economy, Government/Politics

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