Beebe Says Further Tax Cut Depends on Available Revenues - KAIT Jonesboro, AR - Region 8 News, weather, sports

Little Rock, AR

Beebe Says Further Tax Cut Depends on Available Revenues

LITTLE ROCK, AR - Governor Mike Beebe says he probably won't know until next fall whether the state can afford to eliminate the remainder of its sales taxes on groceries.

Beebe said Wednesday that he hopes to eliminate the remaining 3-cent tax, except for a 1/8-percent conservation, during the next season.

But the governor said he won't know whether the state can make the cut until after state economic officials complete their economic forecast.

Beebe on Wednesday spoke at the Arkansas Farm Bureau annual convention.  He thanked the group for its support when the first portion of the tax cut was approved earlier this year.

Beebe told reporters it would be a tougher trip through the Legislature in 2009.  Beebe says last year was exceptional, because legislators had a big surplus.

(Copyright 2007 by The Associated Press.  All Rights Reserved.)

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