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Ohio Senate GOP Moves to Give Wealthiest Ohioans Tax Cut

  • Ohio Senate Republicans proposed a biennial budget in June 2025 introducing a flat 2.75% income tax rate for earners above $26,000, replacing the tiered system.
  • This change aims to eliminate Ohio's current three-bracket tax system, aligning the state with neighboring ones like Kentucky and Indiana that already use flat rates.
  • The budget projects a $1.4 billion income tax cut benefiting primarily the top 20% of earners making at least $139,900, while reducing funding for Medicaid, schools, and libraries.
  • Senate Finance Chairman Jerry Cirino called the flat tax a "really important milestone," but critics warn it will reduce revenue and harm services, with over 98% of benefits going to the wealthiest.
  • Lawmakers must finalize the budget by June 30, 2025, with upcoming committee hearings likely to revise the plan and decisions on balancing tax cuts with service funding shaping Ohio's future.
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Cleveland broke the news in Cleveland, United States on Tuesday, June 3, 2025.
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