Taxes are still the major issue in growing the state's economy, according to a study conducted for the Kansas Chamber of Commerce. Legislators made major tax cuts last year, but more are wanted, Kansas Chamber representatives said at a press conference Wednesday, Jan. 30, 2013.
A research firm conducted the study last November, asking CEO's of various companies what they thought about the business climate in the state.
At the phone press conference McFerron said that while there were big tax cuts last year, "the message is that it isn't enough."
The Kansas Chamber of Commerce is a conservative think tank that supports lower taxes and smaller government.
The survey of 300 business owners showed 19 percent said taxes and 20 percent said government regulations were the most important issues facing business in Kansas. Nineteen percent said they did not know and all other responses were less than 10 percent. Five percent mentioned the economy, and none mentioned profitability.
Pat McFerron, the project director, said for the past 10 years taxes have been the number one concern. He said business owners want lower taxes and believe that will grow the economy.
The survey leaned toward small business as 81 percent had 10 or fewer employees. The CEO's were from all across the state.
He said lowering the cost of doing business was the key to growing businesses and the economy.
He said the study showed no direct correlation between taxes cut and jobs created, or how many jobs would be created by a given amount of a tax cut.
"We can't show that," McFerron said. He added that those most concerned with taxes are the least likely to hire new people.
The survey showed 19 percent of business owners expect the number of jobs to increase. Last year, before major cuts in income taxes in Kansas, that number was at 15 percent.
Mike Oneal, of the chamber, said "it is obvious that decreasing the tax burden on job creators is still critical to job growth. All of Kansas is concerned about that."
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