Tax Law

Showdown in Kansas: Realtors vs. Governor

... In modern Dodge City local businesses try to profit from the city's historic past. But in 2012 Kansas Governor Sam Brownback wanted to lower the states income tax rate, and repeal of the state's historic preservation tax credit was one his proposals to pay for the cost. Dodge city businesses did not like it and real estate developers across the state protested. In the end Brownback got his reform but the credit was preserved.

In 2013 Governor Brownback has set his sights on
repealing the mortgage interest deduction. He needs more revenue to keep his signature income tax rate cuts from ruining state finances. In an obvious effort to test the waters for national office, Governor Brownback is taking his tax reform message nationwide. Needless to say, real estate agents in Kansas are vowing a tough fight to preserve the deduction.

The Kansas tax reform fight is of national importance. Brownback's efforts are a bellwether for federal tax reform. If the governor can't cut the mortgage interest deduction in a heavily Republican state, it does not bode well for bold federal tax reform plans that are depending on trimming the federal mortgage interest deduction to pay for lower rates...


View Martin Sullivan's opinion in its entirety on the taxanalysts® Blog.

Discover the features and benefits of LexisNexis® Tax Center

For quality Tax & Accounting research resources, visit the LexisNexis® Store