Growing jobs in Georgia is the centerpiece of Governor-elect Nathan Deal’s plan to fix the state’s economy. But one idea—a cut to the corporate tax rate—is getting plenty of debate.
Nathan deal wants to cut up to one-third of the taxes businesses now pay. His office estimates such a cut would take 240 million dollars out of the budget But, officials say, the gains might be bigger when the cuts attract more business to Georgia .
Alan Essig is not so sure. The executive director of the Georgia Budget and Policy Institute says there is only a marginal benefit.
“The one impact we know it will have is that it will bring in less revenues. And that means teachers, health care workers, state patrol officers—will lose their jobs.”
Deal spokesman Brian Robinson says unfortunately, there’s pain ahead anyway for state jobs and services:
“No matter what we do on taxes, Georgia’s government is going to shrink this year. There’s no way around it.”
Meanwhile a separate tax reform council is looking at ways to change the state’s tax code. Whether a cut in corporate tax is included is not yet known, yet.