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Economy | Kentucky

New Year, Same RINOs

By AAF | Jan 15, 2025

The first part of Kentucky’s two part session has adjourned and it is important to update you on what happened and what is ahead.

 

On January 7th, the House and Senate gaveled in to kick off the 2025 legislative session. The first part of the session only lasted 4 days and was fairly uneventful with most of it being the political theater of electing leadership positions.

 

One bill of note passed out of the State House that will reduce the State Income Tax by 0.5% and is expected to pass through the Senate within the first week of the second part of session that begins on February 4th.

 

The people of the Commonwealth are struggling to keep up with inflation and Kentucky is struggling to keep up with our neighbor to the south. 

 

The RINOs in Frankfort don’t care.

 

While a 0.5% reduction is a step forward, it doesn’t do enough to address the broader challenge of economic stagnation and the growing disparity between Kentucky and our neighboring states.

 

Sign the Petition to Repeal the Income Tax in Kentucky!

 

States like Tennessee, Florida, and Texas have been reaping the benefits of tax policies that incentivize investment, job creation, and population growth. Meanwhile, Kentucky continues to lag behind, burdened by a tax structure that discourages entrepreneurship, businesses, and individuals from choosing the Commonwealth as their place to live, work, and invest.

 

The ripple effects of Kentucky’s state income tax are felt by every family and business in our state. High income taxes make it harder for families to make ends meet, limit disposable income, and ultimately restrict consumer spending, which drives our economy. For businesses, the tax burden creates unnecessary overhead that could otherwise be used for reinvestment, growth, and job creation.

 

We need bold action to address these issues—not just incremental reductions. Repealing Kentucky’s state income tax entirely would unleash the potential of our economy, giving individuals and businesses the freedom to thrive and compete in an increasingly competitive regional and global economy. A state income tax repeal would help attract new businesses, encourage investment, and keep our best and brightest talent from leaving for more tax-friendly states.

 

Sign the Petition to Repeal the Income Tax in Kentucky!

 

Now is the time for leadership that will pave the way for long-term economic prosperity. We must continue to push for a comprehensive approach that repeals the state income tax entirely, putting Kentucky on the path to growth, opportunity, and success for future generations.

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