Georgia Budget and Policy Institute
10/12/2007 12:22 PM
Please respond to
agoodman@gbpi.org
Georgia Budget and Policy Institute
NEWS RELEASE
For Immediate Release
October 12, 2007
Contact: Alan Essig, Executive Director
404-420-1324, Ext. 101
770-402-4630 (Cell)
To View the GSU Report
and Other GBPI Tax Reform Resources
For More GBPI Reports:
www.gbpi.org
Statement by Alan Essig, Executive Director of GBPI, Regarding Recently
Released Tax Report by Georgia State University
ATLANTA - The recently released Georgia State University Report "Revenue
Estimates for Eliminating Sales Tax Exemptions and Adding Services to the Sales
Tax Base" gives the first independent analysis of the amount of revenues the
State of Georgia would raise by eliminating sales tax exemptions and expanding
the sales tax to include services. The Georgia State University study
estimated that Georgia would collect between $4 billion and $6.5 billion from
such a sales tax expansion, depending on the exemptions and services included.
It would take approximately $8.5 billion to replace revenues lost from
eliminating the property tax as proposed by the Speaker, likely resulting in a
state budget deficit of between $2 billion and $4.5 billion. Such a deficit
would result in massive cuts to education, healthcare, criminal justice, and
local government funding or as much as a 3 point increase in the state sales
tax, an increase which would almost double the state portion of the sales tax.
No other state has eliminated property taxes. No other state has expanded
taxes on services to the extent the Speaker has proposed.
"That the math doesn't work should be a big warning sign as to the risky and
uncertain nature of the plan," said Essig. "Change this radical should only
be done if we know what the outcomes will be. Bad tax reform will burden us
for generations."
Alan Essig Executive Director is available to answer questions and can be
reached at 404-420-1324 or 770-402-4630 (cell).
GBPI's research reports are available on its website at www.gbpi.org.
The Georgia Budget and Policy Institute (GBPI) is the state's leading
independent, nonprofit, nonpartisan organization engaged in research and
education on the fiscal and economic health of the state of Georgia. The
Institute provides reliable and timely analyses of Georgia's budget and tax
policies and promotes greater state government fiscal accountability, improved
services and an enhanced quality of life for all Georgians.
Forward email
This email was sent to phodge@columbusga.org, by agoodman@gbpi.org
Update Profile/Email Address ; Instant removal with SafeUnsubscribe? ; Privacy
Policy.
Email Marketing by
Georgia Budget and Policy Institute ; 100 Edgewood Avenue ; Suite 950 ; Atlanta
; GA ; 30303
Attachments
No attachments for this document.