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Oil and Gas Industry Would Get Tax Benefit Under Ohio Bill
By: Associated Press
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COLUMBUS, Ohio (AP) – Ohio’s oil-and-gas industry would get a retroactive tax benefit that will cost state and local governments a combined $264 million under a bill passed during the Legislature’s lame-duck session.
The expanded sales-tax exemption on drillers’ tangible personal property was contained in a multi-faceted bill. It’s now awaiting action by Republican Gov. John Kasich (KAY’-sik). Because it’s a spending measure, he can line-item veto individual provisions he opposes.
An industry lobbyist says the exemption simply clarifies existing law.
Kasich has repeatedly backed tax increases on Ohio’s high-volume oil-and-gas drillers. Those proposals have failed to gain traction among fellow Republicans who control the Legislature.
The administration hasn’t publicly divulged Kasich’s plans for the bill. But they’ve foreshadowed a tight upcoming budget due to revenue falling below projections.