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Thursday, March 31, 2011 - 2:24am

Tax Reform Negotiations Continue

Updated: 3 years ago.
In the waning days of the 2011 General Assembly session, lawmakers hope to hammer-out a deal on tax reform for the state. (GPB file photo)

State lawmakers were unable to come to an agreement Wednesday evening on a tax reform plan, so work will continue Thursday.

A Republican-proposed measure would cut the state income tax from 6 to 4.5 percent. But it would add taxes on auto repair, car sales between individuals and some telecommunication services.

State Democrats say the plan would cut taxes for people with lower incomes and the wealthy, but not the people in-between.

House Minority Leader Stacey Abrams says the plan would add hundreds of dollars in state taxes for people earning between $100,000 and $180,000.

And after a day of poring over the numbers, Senate President Pro Tempore Tommie Williams of Lyons, a Republican, agreed.

“As Rep. Abrams pointed out, there was a gap of people in there that were going to have tax increases, and we’re not about putting tax increases on middle incomes so we’re making some changes so that that bracket of people would not be incurring tax increases.”

Williams says he and other Senators spent much of the day yesterday trying to get new tax estimates from Georgia State University.

The General Assembly could take up the plan next session. But Republican House Speaker David Ralston ways Georgia residents want tax reform now.

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