Ted Strickland

Cutting Taxes for Ohioans

In Governor Strickland's first budget, he proposed and eventually signed a massive tax cut for every senior citizen homeowner in Ohio. By expanding the Homestead Tax Credit, the governor is allowing every senior citizen homeowner in the state to pay no taxes on the first $25,000 value of their homes. The state then reimburses local communities for the lost revenue, helping to increase the state's share of education spending and lessen the burden on local communities. The average tax savings is $400 -- a sizable figure for folks on fixed incomes.  

As the result of tax reforms embraced by Governor Strickland, Ohioans have seen income taxes and taxes on businesses decrease significantly. Ohio now has the lowest business taxes in the Midwest and personal income taxes have been cut by almost 17% since 2004.

Governor Strickland’s accomplishments include:

• Presiding over the largest tax cut in modern Ohio history.  Ohioans now pay $1.8 Billion less in taxes each year because of these and other tax changes enacted in H.B. 66 and embraced by Governor Strickland. Income taxes are now 16.8% lower than they were in 2004.
• Creating one of the most favorable small-business tax climates in the country. Thanks in part to Ohio’s tax reform, the Small Business & Entrepreneurship Council recently rated Ohio the 11th friendliest state in the country to small businesses, up from 38th when Governor Strickland took office.
• Expanding eligibility for homestead tax credits to every Ohio homeowner over the age of 65 and every permanently disabled Ohioan, regardless of income. The number of households eligible for the homestead exemption tax is expected to grow from 220,000 to 775,000, according to projections by the Ohio Department of Taxation. School districts and local governments will be reimbursed by the state for money lost through lower property tax liabilities for residents.
• Ensuring that Ohio is one of just two states without a general tax on corporate profits or personal property used for business.