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Thursday, March 24, 2011 - 8:11am

Committee Considers Tax Reform Ideas

State legislative leaders on Thursday proposed lowering the income tax rate and leaving groceries untaxed. During a special committee meeting, lawmakers endorsed some recommendations from a tax reform council but rejected others.

State Republican leaders created the tax reform council last year, with the idea of boosting job growth by rewriting the tax code.

Now those leaders have rejected the council’s proposal to institute a sales tax on groceries. But they endorsed lowering the income tax from 6 percent to at least 4.5 percent.

Republican Rep. Mickey Channell of Greensboro said the current income tax rate is not spurring companies to hire or relocate here.

“This proposed reduction in income tax will instantly make us more competitive. It will recruit the high-paying quality jobs our citizens need. And more importantly, it will help hard-working Georgians keep more of their money.”

Legislators did not like many tax changes proposed by the Special Council on Tax Reform and Fairness.

The joint committee reviewing the plan could vote as early as Monday.