NEWS . . . FOR IMMEDIATE RELEASE
Monday, April 7, 2008
From: Martin Hawley, the Office of State Representative Calvin Hill
Weekly View From The Hill:
Calvin Hill
Lieutenant Governor Denies Georgians Tax Cuts
After almost a year of vigorous public discussion, Georgians were brought to the dance of tax reform.
In that dance, they were engaged in ideas ranging from shifting our state’s current tax structure to a consumption-based system to totally eliminating some taxes.
After much debate this winter, the Georgia House agreed to cut the birthday tax to give a progressive tax cut impacting 93 percent of Georgians. We also agreed to freeze property assessments so they could only increase 2 percent a year.
The Georgia Senate, meanwhile, responded with a plan to reduce the state income tax by 10 percent over a five-year period.
But as the clock ran out on the 2008 session of the General Assembly Friday night one man stood in the way of the General Assembly passing a final tax cut plan. That man was our Lt. Gov. Casey Cagle.
If Ronald Reagan were alive he would have been ashamed.
The Georgia House repeatedly attempted to compromise and to provide tax relief to the taxpayers. After all, one of the basic tenets of the Republican Party is that we provide tax cuts. We believe that after government pays for basic services it should return any surplus funds to Georgians.
We also believe that cutting taxes stimulates the economy. When Georgians get more money in their pockets, they spend it. That creates more tax receipts and revenue for state and local governments.
As we read in news stories every day, rising consumer prices are putting a squeeze on Georgians who have to pay more for groceries, a tank of gas and to pay other bills. Georgians want and need more of their own money and expect state government to provide them a tax cut.
So, after going to the “tax reform dance” this year, they were expecting state government to give them back more of their hard-earned money. After all, taxes don’t belong to the government. They belong to the people.
Unfortunately, our lieutenant governor put politics before the people of Georgia – refusing to allow his Senate to vote on any tax cut before the clock ran out at midnight on the 40th day of our 40-day session.
Public opinion polls show Georgians overwhelmingly want to eliminate the birthday tax and also support a cut in the state’s 6 percent income tax. Many states such as neighboring Florida don’t even have an income tax and more than 26 states have repealed the ad valorem on vehicles. Unfortunately, one man put a halt to a great effort by a super group of lawmakers looking out for you and trying to get you more of your money.
When your birthday rolls around and you are unhappy about having to pay the birthday tax, remember to thank Lt. Gov. Casey Cagle for still having this tax. The Georgia House did its best to put that tax in the grave.
Finally, Georgia legislators did a Herculean effort in the final hours of the General Assembly in stopping some bad public policy efforts.
We stopped legislation to require school children to weigh in at public schools to check their body mass.
We halted a bill to put a $10 tax on cars to fund a statewide trauma network.
We stopped a bill that would have imposed a $1.00 fee on cigarettes and a ballot question that would have gave regional governments more power to raise taxes for transportation – perhaps a 1 percent sales tax in a time when our economy is floundering.
The Legislature, did however, make a giant leap forward for consumers in adopting my credit freeze legislation that protects Georgians from identity fraud.
Once Gov. Sonny Perdue signs this into law, Georgians will be able to freeze their credit reports for a fee of $3.00 or less with the major credit reporting agencies. They would receive a pin to unlock their credit whenever they would like to open new credit cards or take loans, for example.
The freeze protects consumers from the widespread identity theft happening in Georgia as our citizens have become victims of fraud through stolen mail and other crimes.
Let me know how you feel about the lieutenant governor’s refusal to allow the people of Georgia get a tax cut or how this 2008 legislative session fared – the efforts we stopped or the good things we did. As always, I’m at calvin.hill@house.ga.gov
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