The Lawrence Chamber of Commerce board of directors endorses a Senate version of a property tax classification amendment but is not certain if it could support the version of the plan the House approved this morning, according to a chamber spokesman.
John Lungstrum, chair of the chamber board of directors, said the chamber supports a version of the bill that would both lower taxes on commercial property and keep merchants' and manufacturers' inventories off the tax rolls.
The classification plan that was approved by the House this morning would put inventories back on the tax rolls for three years, said Rep. John Solbach, D-Lawrence.
Solbach said that the House version, which he supports, would tax only a portion of merchants' and manufacturers' inventories 60 percent of those in excess of $100,000.
The inventories would be assessed at an 18 percent rate in 1990, a 12 percent rate in 1991, a 6 percent rate in 1992 and would be exempt after that, Solbach said.
The Senate versions of the classification amendment would reduce the assessment level on commercial property from 30 percent of market value to 20 percent on the first $50,000 and 25 percent on the remaining value.
Solbach said that the House fine-tuned the Senate version to keep many large businesses, which got an inventory tax break last year, from getting an even bigger break this year.
Solbach said in order to recoup the revenue lost from exempting merchants' and manufacturers' inventories, the House version would assess commercial property at 21 percent in 1990, at 23 percent in 1991 and at 25 percent thereafter.