LITTLE ROCK, AR - A state income tax cut dependent on continuing growth in state revenue has gained the approval of the Arkansas House of Representatives.
The measure approved yesterday on a 66-to-27 vote would cut income taxes if the state's revenues go above $4.7 billion next year.
The bill by Representative Ed Garner of Maumelle would cut income taxes by one-quarter of one percent in 2009 if the state's general revenues for the fiscal year beginning July 1 exceed $4.7 billion. Garner says the bill would give taxpayers relief if the state experiences revenue growth similar to what it has experienced in the last couple of years.
Matt DeCample, a spokesman for Governor Beebe, said the governor opposes Garner's proposal. DeCample said the measure would tie future budgets and general revenue to triggers that are based on speculation that the state would have no control over.