NASHVILLE - House Democrats are discussing closing some sales tax loopholes to help offset the need to slash another $200 million in spending from the 2009-10 state budget that starts July 1.
“No one wants to raise taxes, I mean, at all. But we’re in unprecedented times,” said House Democratic Caucus Chairman Mike Turner, who noted his members increasingly fear the impact of cuts on services.
Rep. Turner said the state has an estimated $6 billion in services and items not subject to the state’s 7 percent sales tax. He did not cite a specific figure. A state income tax is “off the table,” he said, as is a general sales tax increase.
His comments came after House Democrats’ closed-door meeting with Finance Commissioner Dave Goetz in which he outlined the state’s recession-driven fiscal woes.