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Ohio Budget Bill: To Everyone’s Surprise, 100% of Ohioans Favor HB 59

by Judd Ballard

Sarcasm, obviously, although I can’t take total credit for it.  The best quote I heard during the budget process came from Ohio Tax Commissioner Joe Testa during a Columbus Metropolitan Club luncheon at the Athletic Club over three months ago.  Because of the topic, and given the other invited speakers present, Testa volunteered to go first and began his conversation with a classic one-liner…”the most surprising thing about the Governor’s initial budget proposal was how well received it has been statewide”.  A nice loud laugh came from the crowd.

Now finalized, the dust is certainly beginning to settle.  Open any Ohio-based publication any day of the week and every corner of the state is weighing in on the signed House Bill 59.  It’s hardly surprising the editorials are coming from all directions.  There will always be sides that claim victory, while others claim defeat.  No one is ever 100% happy with these budgets.  But read between the lines to figure out who won and who lost.

Democrats? Not happy.  Republicans? For the most part, happy.  Small business owners? To be determined.  Job creators? Supposed to be happy.  Wealthy individuals? It depends on who you ask.  Manufacturers? Probably feel a little let down.  Utica shale investors? Off the hook for now, but apparently playing a large role in the lack of change to the severance tax.  And lastly, don’t forget about the online retailers.  Online shoppers are somewhat safe for now but it’s likely the days of “tax free” online shopping will come to an end soon.

The underlying theme of HB 59 from the beginning was to cut personal income taxes.  Governor Kasich’s wish to shift Ohio’s tax burden from income to consumption seems to have succeeded to an extent.  While the CAT rate and base remained largely intact, the new graduated structure for the annual minimum tax appears to be covering for lost tax dollars related to lower individual income tax rates.  In addition, the slight increase in the state sales tax rate will also help cover forgone income tax revenues, as will additional sales tax revenues from certain digital products and magazines.

It’s been almost a month now since the bill was signed into legislation and there are still several topics not sitting well with the entire state.  Kasich appears ready to continue the fight for an increased severance tax, vowing to not back down to a House Republican or two opposing the idea.

Stay tuned for updates on a handful of other bills with tax consequences, municipal income tax reform, et al.  If House Bill 5 passes in its current form, you can fully expect the entire state to be pleased.

This entry was posted in Audit & Tax Talk and tagged Accounting. Bookmark the permalink.

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    Besides his wife of 19 years, he leaves his daughters, Lyle Schreiber and her husband, Paul, of Oxford, and Jaime Gilnack and her husband, Jim, of Bethlehem, and his son, Kerry, and his wife, Maria, of Escondido, Calif.; his mother-in-law, Ruth Harris of Waterbury; his former wife, Georgia Sheron of Waterbury; several nieces and nephews; his stepsons, John Sjovall and his wife, Valerie, of Danbury, James Sjovall and his wife, Rowena, of Lithia, Fla., and Thomas Sjovall of Danbury, and four grandchildren.He was predeceased by his oldest son, Bobby, and his brother, Ron.Bob s family wishes to acknowledge with tremendous gratitude all the loving care and support from the angels, all, at Geer Nursing Center in Canaan where Bob was kissed and loved into heaven. Also with many thanks to the folks at Watertown Convalarium in Watertown and Masonicare Health Care Center in Wallingford.Calling hours will be from 5 to 7 p.m. Wednesday, October 30, at Rowe Funeral Home, 283 Torrington Rd., Litchfield, Route 202. A memorial Mass will be celebrated at 10:30 a.m. Saturday, November 2, at the Grotto Chapel at Lourdes in Litchfield followed by a buffet lunch in Pilgrim Hall for all Bob s family and friends. Burial will be private.Memorial contributions may be made to the Montfort Fathers at Lourdes in Litchfield.Kindly visit to send the family an online condolence.
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    e (Copyright 2013 by KARE. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)
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    Howard M. Kiely, 90, widower of Angeles Mary Kiely of Newington, passed away peacefully Tuesday, Oct. 29, 2013, at the Hospital of Central Connecticut. Born in New Britain, son of the late Howard F. and Mary (Koverman) Kiely, he was a resident of Newington for more than 50 years and a member of the Church of the Holy Spirit. As a youth, he was an avid sportsman, enjoying golf and bowling. One of his proudest possessions was a photograph of himself with Babe Ruth s arm around his shoulder. This was taken when Howard was playing for the semi-professional baseball team, the New Britain Codys, at an exhibition game in 1945. He rooted for the Red Sox and was a fan of the UConn women s basketball team. He worked most of his life as a foreman for the old Corbin Russwin Co. and retired after it had been acquired by the Emhart Corp. After retirement, Howard and Mary enjoyed many bus trips with the Senior Club of Newington.A beloved father and grandfather, he is survived by a son, Michael Kiely of Newington; a daughter, Laura Korn of Plainville; his grandchildren, Brian, Kristen and Joshua Korn and Stephen and Jonathan Kiely. He also leaves his brother, Robert Kiely and his wife, Elizabeth, of West Hartford and his nieces, Mary, Patricia, Kate, Margaret, Ann, Beth, Darlene and Francine, and his nephews, Vincent and Robert Jr. Howard s family would like to extend their heartfelt gratitude to the VNA Healthcare Hospice for their care and compassion.His funeral service will begin Friday, Nov. 1, at 9 a.m. at the Newington Memorial Funeral Home, 20 Bonair Ave., Newington, followed by a Mass of Christian Burial at 10 a.m. at the Church of the Holy Spirit, Newington. He will be laid to rest with his wife in West Meadow Cemetery, Newington. Relatives and friends are invited to call Thursday (TODAY) from 5 to 7 p.m. at Newington Memorial. To share a memory with his family, please visit us at .
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