The House Ways and Means Committee is expected to vote today on a series of bills that would make changes to the state’s tax code as part of the effort to plug the billion dollar budget shortfall. Jackson Representative Kenny Havard says the current system, which provides tax breaks for businesses in certain industries, is unfair.
Harvard says that if the state doesn't give everyone tax exclusions, no tax exclusions should be given at all.
But Baton Rouge Representative Barry Ivey says he’s concerned that the current push to fix the fiscal cliff by taxing business will hurt the state’s economy. He says it could result in jobs heading out of state.
Ivey says the proposed changes to the business tax code will hurt the budget in the long run, as businesses chose not to expand in Louisiana.
According to Ivey, the tax code "does nothing" to create "an environment of stability" that would lead to businesses investing money in Louisiana.
No agreement has been reached on a detailed proposal to solve the fiscal cliff, as legislators have shied away from specifics in the first two days of the special session. Havard says there’s been too much posturing and not enough policy.
Harvard says, "We need to quit pandering political rhetoric and meet in the middle."