Thursday, August 26, 2010

Georgia Special Council On Tax Reform And fairness Meeting

taxanimation

Meeting for public input held in the Blue Room of the Georgia Freight Depot

The following testimony was presented:

1. Goodwill Industries:

                 Spoke in favor of increasing the tax on tobacco products

                 Asked for reinstatement of sales tax exemption for charities

2. Georgia Agribusiness Council

                Stated that that the agribusiness industry has a $65 b economic impact on the state of Georgia

                Stated that all sales tax exemptions should be looked at individually

                Wants to keep sales tax exemptions for agribusiness

Chairman A.D. Frazier asked the presenter what exactly “impact”, as in $65 b impact on the Georgia economy means, and the presenter could not explain

3. A Dairy Farmer from Coweta County testified

                  He said farming has a ripple effect throughout the economy, and wants sales tax exemptions to remain in place

4.  State Representative Chuck Sims testified

                  He wants sales tax on food re-instated. He testified that the state loses at least $560m in revenue annually due to the exemption. He believes it is really more  than that. He believes that seniors and the disabled should be exempt from the sales tax on food, however.

                 He believes the sales tax on food, once re-instated should be collected at the wholesale level, and not retail. Thais is how it is done for diesel and gasoline

5. After Rep. Sim’s testimony, there was a discussion among commission member about collection of sales tax at the wholesale level versus at the retail level

6.  Testimony was offered by a member of the Tea Party group, advocating tax reform along the lines of that proposed by radio personality Neil Boortz

7.  Scott Maxwell testified on behalf of the Georgia Public Health Association.

                  He spoke in favor of raising the tax on tobacco products. He testified that an increase of $1.00 per pack on cigarettes would result in an increase of revenue of $350m annually.

Mr. Maxwell was asked by Council member Gerry Harkins how he felt about raising tax on alcohol products. Mr. Maxwell sated that he was only working on the issue of the tobacco tax.

8.  Testimony was offered by Norman Adams who represented private homes for abused and neglected children.

                 He testified that the private homes serve one half of the children in Georgia who are placed in homes.

                 He said that the homes receive no reimbursement from the state for those children placed privately.

                 He advocated for sales tax exemption for the private homes/providers who provide care for abused and neglected children.

9. Pat Puckett testified. Represents a disability advocacy group, 20/20 Georgia

                 Testified that Georgians are losing wages due to staying home to care for disabled family members.

Commission Chairman A.D. Frazier said that the commission is charged with reforming the tax code, and not how money is appropriated.

10. Wade Lenica, Mayor Pro-Tem, Smyrna testified

                He said Speaker Richardson’s “GREAT Plan” was a bad idea

                He said local government is closest to the people

Don Parsons editorial comment: That is not always the case – Cobb County, I represent many fewer people than Cobb Commissioners

He was asked by Commission member Fickling what the best tax mix would be for cities, he could not answer.

11. Danny Orrock from Georgia Watch testified

                He testified that non-profit hospitals enjoy too many tax exemptions

                He said there are so many that nobody knows what they are

 

Council Chair A.D. Frazier told him that the commission will look at every exemption, and seek to improve fairness and improve growth.

 

12. Pat Willis testified on behalf of Voices for Children

 

                She spoke in favor of increasing sales tax on tobacco products.

                She spoke in favor of a larger tax deduction for children

 

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