In tax negotiations, Gov. Edwards rejects sales tax renewal
BATON ROUGE, La. (AP) - Gov. John Bel Edwards says he's flexible on tax ideas to close a $1 billion budget gap. But he won't consider one proposal: a long-term renewal of the expiring sales tax causing most of the hole.
Lawmakers in 2016 raised Louisiana's four cent state sales tax by another penny for every dollar spent. That sales tax increase, which brings in an estimated $880 million annually, and other temporary taxes expire July 1.
For Republican lawmakers considering taxes, Edwards is taking one of the most significant revenue-raising measures off the table.
Edwards says the temporary sales tax was planned as a bridge to a larger rewrite of Louisiana's tax laws, which hasn't happened. He says the tax hike more heavily hits the poor and is out of step with other states.
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