House Bill 272 Passes House
Frankfort, KY: Tonight, Governor Ernie Fletcher thanked members of the Kentucky House of Representatives for passing legislation to modernize Kentucky’s outdated, unreliable and unfair tax system.
“This is an historic night in the Commonwealth,” said Governor Fletcher. “I commend the Republican and Democrat House Leadership for their diligent work and I thank the House membership for taking a courageous vote on this complex issue. By reforming our tax code, we will open the gate to unbridled economic opportunity.”
Governor Fletcher introduced his JOBS For Kentucky tax modernization plan to legislators on February 1st, 2005. After meeting with legislative leaders again today, the Governor said he was encouraged House Republicans and Democrats are working in a bipartisan manner on a comprehensive tax plan to move Kentucky forward.
“The House made substantial changes to my original proposal by incorporating their own ideas into the plan, which is all part of compromise within the legislative process,” said Governor Fletcher.
The plan passed by the House tonight on a vote of 96 to4. It retains nearly all of the components of Governor Fletcher’s plan. The bill provides a tuition tax credit for students, repeals the intangible property tax, reduces the corporate income tax, and creates a horse breeder development fund. The bill also repeals the onerous corporate license tax and fixes the constitutional problems highlighted in the Illinois Tool Works case.
Minority Floor Leader Jeff Hoover (R-Jamestown) introduced House Bill 272. It now goes on to the Kentucky State Senate for consideration.