Current:Home > MySurpassing Quant Think Tank Center|Louisiana lawmakers advance Gov. Jeff Landry’s tax cut bills -Ascend Finance Compass
Surpassing Quant Think Tank Center|Louisiana lawmakers advance Gov. Jeff Landry’s tax cut bills
Surpassing Quant Think Tank Center View
Date:2025-04-09 09:46:57
BATON ROUGE,Surpassing Quant Think Tank Center La. (AP) — Louisiana lawmakers advanced bills to flatten the state’s income tax rate and repeal the corporate franchise tax in a special legislative session focused on a sweeping tax reform package championed by Republican Gov. Jeff Landry.
The session started earlier this week and the bills quickly cleared committees despite pushback from Democratic lawmakers and groups such as those representing the film industry, which are set to lose tax breaks. The state House of Representatives could vote on the bills early next week.
One of the bills would introduce a flat individual income tax rate of 3% while increasing deductions for the lower income brackets. The legislative fiscal office’s former chief economist Greg Albrecht described the proposed income tax plan as “modestly progressive” compared to the existing tax code in a study commissioned by a coalition of nonpartisan policy think tanks.
Democratic Rep. Matthew Willard, the state House Minority Leader, said on Thursday that the income tax cuts would do little to help lower-income households. Citing Albrecht’s study, he noted that people earning between $25,000 to $30,000 annually would only get back $224 as a result of the proposed reforms.
“Although this plan saves everybody money, the majority of people who truly benefit from it don’t need much financial help and the people who do need financial help are saving $200, $300 a year — but they need $1,000,” said Willard, a member of the House Ways and Means committee.
“If you look at the bigger picture, I mean really how you improve the lot of everybody, especially on the lower income brackets, is you get them a better job and I think you give them more opportunity,” said Richard Nelson, Secretary of the Department of Revenue and the architect of the governor’s tax reform proposals.
If approved, the flat income tax rate would leave the state with an estimated revenue hole of more than $1 billion, which Landry’s proposal calls for making up for primarily by expanding sales tax on dozens of services and digital goods such as streaming sites — likely a harder sell for the GOP-dominated Legislature moving forward.
___
Brook is a corps member for The Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues. Follow Brook on the social platform X: @jack_brook96
veryGood! (122)
Related
- Friday the 13th luck? 13 past Mega Millions jackpot wins in December. See top 10 lottery prizes
- Oklahoma declines to discuss a settlement of Tulsa Race Massacre survivors’ lawsuit
- Video shows Texas US Rep. Ronny Jackson berating officers after being wrestled to ground at rodeo
- 15 Things You Should Pack To Avoid Checking a Bag at the Airport
- Grammy nominee Teddy Swims on love, growth and embracing change
- Why Jennifer Lopez's Filter-Free Skincare Video Is Dividing the Internet
- Maui resident says we need money in people's hands amid wildfire devastation
- 6 migrants dead, 50 rescued from capsized boat in the English Channel
- 'Squid Game' without subtitles? Duolingo, Netflix encourage fans to learn Korean
- How U.S. Steel, Monday.com's share jumps may reignite stock market after weekslong slump
Ranking
- Highlights from Trump’s interview with Time magazine
- Museum to honor Navajo Code Talkers is about $40 million shy of reality
- Messi injures foot in Inter Miami practice: Here's what we know before Leagues Cup semifinal
- Pennsylvania county says house that exploded was having ‘hot water tank issues’
- Former Syrian official arrested in California who oversaw prison charged with torture
- Deja Taylor, Virginia mother whose 6 year old son shot teacher Abby Zwerner pleads guilty
- A Community-Led Approach to Stopping Flooding Expands in the Chicago Region
- Venus Williams, 43, earns first win over a top-20 opponent in four years at Cincinnati
Recommendation
Average rate on 30
Andy Taylor of Duran Duran says prostate cancer treatment will 'extend my life for five years'
Lionel Richie 'bummed' about postponed New York concert, fans react
Ravens teammates remember Alex Collins after RB's death: 'Tell your people you love them'
The company planning a successor to Concorde makes its first supersonic test
James Harden vows 'never' to return to Sixers as long as 'liar' Daryl Morey is there
Chicago Looks to Overhaul Its Zoning and Land Use Policies to Address Environmental Discrimination
Ex-Mississippi law enforcement officers known as Goon Squad plead guilty to state charges in racist assault