TENN TAX BATTLE: SENATE TO WAIT FOR HOUSE INCOME TAX PLAN

The Tennessean ^ | 4/10/02 | Bonna de la Cruz

[GailA]

The state Senate systematically began clearing away proposals to increase taxes yesterday in preparation for a flat-rate income tax plan Senate leaders expect will come from the House.

Among tax proposals to stall yesterday were a 2% flat-rate income tax, a plan to increase the state's car tag tax, a bill to repeal a tax break on aviation fuel and one to revamp the state's tax structure by doing away with the 6% state sales tax and replacing it with a 6% flat income tax.

[GailA]

Sundquist says lawmakers progressing on budget By DUREN CHEEK Staff Writer

Gov. Don Sundquist said yesterday he thinks state lawmakers are making progress in budget discussions ''to the extent it is becoming more apparent every day that there are only two or three alternatives.

''You have the so-called D.O.G. (no new tax) budget. You have a sales tax increase or you have a flat tax. The sooner we arrive at one of those supposed solutions the better for me.''

In another development, the Tennessee Business Roundtable, which represents about 150 corporate chief executive officers across the state, disclosed it had adopted a resolution backing ''tax reform'' because of the ''dire straits'' the state is in financially.

''We will look at all components of tax reform,'' said the group's president, Wayne McCreight of Martin.

''If one of those components has to be an income tax, we would not object to it. We would look at it and make an evaluation at that time.''

He indicated the groups support could be tied to making it more difficult to change income tax rates after.

McCreight, who heads a human resources company, said the Roundtable favors tax reform with ''fair, equitable, adequate, competitive, federally deductible components, one of which may necessarily be a taxation of personal income with reasonable restraints on increases, such as a super majority in the legislature.''

The Roundtable plans to recruit and support legislative candidates who share its views and make a concerted effort to inform Tennesseans of the need for systematic reform to specifically allow for improvement of public education at all levels, McCreight said.

[GailA]

Anti-Tax Rally Join Steve Gill and TNTaxRevolt on April 15 Please mark Monday April 15 on your calendar right now. TNTaxRevolt will join Steve Gill and WTN at Legislative Plaza in Nashville from at 5:30AM until... We are overtaxed and overburdened with government at all levels: local, state and federal. Please come out and help us mark this sad day for working taxpayers. The only way we can hope to decrease the tax burden for our children and grandchildren is to be active and vigilant citizens. Please come and join us.

[xzins]

They won't be satisfied until they have an income tax. Flat Rate is a trojan horse that will change over the years.

Cut the budget.

LIFO -- Last in first out.

[Redbob]

"(Se. John)Ford told the Finance Committee. 'This one (2% tax) is very simple and widely accepted by the people of Tennessee.'"

Question: How do you know John Ford is lying?
Answer: His lips are moving.

[Redbob]

Once again, and probably not for the last time:
Tennessee already HAS an income tax!

It's the "Hall Tax", and in the inimitable style of the backwoods demagogues, it's said to be on "unearned income" - a 6% tax on any investment income.
Bond dividends, mutual fund payouts, stock earnings, the payout from your IRA, you name it.

[JDGreen123]

He He! The Hall tax is what the Roundtable types want to trade in for an income tax. With their big investments they pay more taxes under the Hall system than they would under an income tax with lots of shelters. They want the rest of us to pay more while they pay less.

[GailA]

john ford is my "new" redistricted senator..since he only represents folks with a specific skin color, and money for his campaign, guess it would be useless to contact him and tell him how WRONG he is.