Dr. Amy Acton, the Democrat running to replace Gov. Mike DeWine, pitched multiple ideas to make life more affordable.
Dr. Amy Acton, the Democrat running to replace Gov. Mike DeWine, pitched multiple ideas to make life more affordable.
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Amy Acton proposes tax credits, debt relief as Ohio governor race ramps up

Amid rising costs, Democratic gubernatorial candidate Dr. Amy Acton is pitching dozens of ways to help Ohioans afford daily life.

On April 6, Acton is rolling out her “ActOn Costs Agenda,” which includes everything from a refundable earned income tax credit and a child tax credit for families to medical debt forgiveness and the elimination of hidden fees on sports and concert tickets.

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“As governor, my number one priority will be lowering costs for working families,” Acton said in a statement. “I’ll combat high prices with common sense solutions, fight back against the fraud and corruption that raise costs for Ohioans, and work with both sides of the aisle to deliver for our state.”

Acton has so far provided few details about how she would pay for her proposals. Some of these benefits would cost hundreds of millions, if not a billion dollars, according to legislative analyses of similar proposals.

“We have money. We have tax money and income, but we have to pick what we’re going to fund and what we’re not going to fund,” Acton said at Bottoms Up Coffee in downtown Columbus. Acton added that another income tax cut wasn’t what Ohioans needed.

“As governor, she will take a hard look at closing some of these tax loopholes,” Acton spokeswoman Addie Bullock said. “(Acton) is a moderate Democrat who is also committed to making sure we have a balanced budget and that we’re saving Ohioans money.” (The Ohio Constitution requires a balanced budget.)

Many of Acton’s proposals would require approval from Ohio’s GOP-controlled Legislature, which has rejected similar plans pitched by Democratic lawmakers and Republican Gov. Mike DeWine. But Acton’s spokeswoman said the Democratic gubernatorial candidate “is a problem solver who has spent her career working across the aisle.”

Acton, best known for leading the state health department during the initial months of the COVID-19 pandemic, is expected to face Republican Vivek Ramaswamy in the fall. DeWine cannot run again because of term limits.

Acton pitches tax breaks for low-income workers, families

Acton wants to expand an income tax break for low- and moderate-income Ohioans, which she says would benefit up to 775,000 families.

Ohio currently has an earned income tax credit, which reduces the amount of income tax owed for anyone earning up to $19,104 as a single person or $68,675 for a family with three children. Ohio’s tax break is a nonrefundable credit equal to 30% of the federal tax break.

Because Ohio’s credit is not refundable, many low-income Ohio families who do not owe income taxes do not receive a refund or benefit from the tax break.

Republican lawmakers have shown little interest in making Ohio’s EITC refundable, largely because of the cost. For example, a bipartisan bill would give taxpayers the option to receive a refundable tax credit equal to 9% of their federal earned income tax credit, or equal to 12% if they had a child under the age of 3.

That idea would cost the state $173 million to $231 million per year, according to a legislative analysis. Nearly a year after the bill was introduced, the proposal has yet to receive a hearing.

Greg Lawson, senior researcher at The Buckeye Institute, a conservative-leaning think tank, opposes making Ohio’s earned income tax credit refundable at any point, but said it’s a particularly bad idea as federal cuts loom.

“This is probably even a more challenging environment from the cost side,” Lawson said. “It could balloon. It depends on where you set the rate at, but it could get pretty expensive.”

Acton’s campaign didn’t say whether the whole 30% or some lesser amount should be refundable, but pointed to the bipartisan bill as a guide, and said Acton would work with state lawmakers to find the right balance.

Acton also proposed a child tax credit of $1,000 per year for families earning up to $85,000 with children under 7. She would also offer a $500 per year credit for families with children between 7 and 18 years old.

That policy would cost as much as $782 million, according to a financial analysis of an identical bill introduced by Democratic lawmakers. That bill received one hearing in 2024, but did not advance.

DeWine pitched a child tax credit in his final budget, but Republican lawmakers rejected the annual $440 million price tag and DeWine’s chosen funding source: a tax hike on cigarettes.

Acton wouldn’t ban data centers

Despite some Ohioans’ growing frustration with data centers, Acton said she wouldn’t ban them from the state entirely. A campaign to ban most data centers was recently cleared to collect the signatures needed to make the ballot.

But Acton said she would ensure that the data centers are built with union workers, that their owners couldn’t hide details behind non-disclosure agreements and that they would foot the bill for extra utilities they’re using.

“From the Youngstown steel plants to the manufacturers that made my Jeep, Ohio has led the nation in innovation, but Ohio should reap the benefits of these new technologies, not pay the price,” she said.

Acton didn’t weigh in on whether she would preserve a tax break for data centers as DeWine did. “This is an issue both sides of the aisle feel very strongly about. We welcome the state Legislature taking a hard look at this issue.”

What else would Acton do if elected Ohio governor?

Acton outlined several other proposals she said would save Ohioans money:

Ramaswamy’s campaign said Acton’s proposals are right out of a liberal playbook.

“Straight out of (Mayor Zohran) Mamdani’s NYC playbook, Liberal Amy Acton’s agenda means billions in new spending, higher taxes, and bigger government — with working families left holding the bag,” Ramaswamy spokesperson Connie Luck said in a statement.

Acton didn’t address property taxes in this policy rollout. Ramaswamy recently pledged to roll back property taxes to the levels they were at before the end of the COVID-19 pandemic, which one analysis described as a multibillion-dollar cut.

A ballot campaign is collecting signatures to eliminate property taxes entirely − a change DeWine has warned would be devastating to local schools, firefighters and police.

This article was updated to reflect additional context and add a quote.

State government reporter Jessie Balmert can be reached at jbalmert@usatodayco.com or @jbalmert on X.

Tell us what you think of Amy Acton’s plans and the race for Ohio governor

This article originally appeared on The Columbus Dispatch: Amy Acton proposes tax credits, debt relief as Ohio governor race ramps up

Reporting by Jessie Balmert, Columbus Dispatch / The Columbus Dispatch

USA TODAY Network via Reuters Connect

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