Hannah News contributed to this report
In the early morning hours of June 25, Republican negotiators agreed to a biennial spending plan that will institute a flat-rate income tax and included all OSCPA’s budget priorities. Substitute House Bill 96 was passed later that day by both the Ohio House and Senate.
The House passed the final FY26-27 budget mostly along party lines. The final vote was 59-38, with Democrats in unified opposition and a small group of Republicans joining them – Reps. Tim Barhorst (R-Ft. Loramine), Levi Dean (R-Xenia), Ron Ferguson (R-Wintersville), Scott Oelslager (R-North Canton) and Michelle Teska (R-Centerville).
The Senate passed Sub H.B. 96 by a vote of 23-10. Sen. Louis Blessing (R-Cincinnati) joined all Democrats in opposing the budget.
The final version of Substitute House Bill 96 includes a flat tax on nonbusiness income phased in over two years. Those making above $100,000 will pay 3.125% in tax year 2025, and everyone above $26,050 will pay 2.75% in tax year 2026.
OSCPA’s budget priorities include:
The budget now heads to Gov. Mike DeWine’s desk for review. He will likely make several line-item vetoes and ultimately sign the bill into law before the start of the new fiscal year, July 1.