- By MELINDA DESLATTE, Associated Press
By MELINDA DESLATTE, Associated Press
BATON ROUGE, La. (AP) — The sales tax proposal advancing in the Louisiana House to help close a nearly $1 billion budget shortfall caused by expiring taxes would repeat the problem three years later. The bill would only enact temporary sales tax changes, causing a new budget gap in 2021.
Several lawmakers say they disagree with creating another self-inflicted financial problem.
Senate President John Alario says enacting a short-term tax change to fill holes “should concern the people of the state.” He says that makes it difficult for colleges, health providers, state agencies and the people who rely on state services to plan for the future.
The bill would temporarily renew one-quarter of an expiring 1 percent sales tax and temporarily eliminate some sales tax breaks. The proposal is scheduled for House debate Monday.