The full House completed their budget-balancing exercise Friday, leaving few completely pleased with the outcome.
But, as Minden Rep. Gene Reynolds said, “The reality is once it gets over to the Senate side, it’s not going to come back the same way it left – believe me.”
One lawmaker left frustrated is Kenner Rep. Julie Stokes.
“We need to make sure that we’re meeting the needs of our entire state, and adequately funding our priorities,” Stokes said.
I asked the vice chair of House Ways & Means, how – and if – Louisiana can ever get off this budget rollercoaster.
“The best thing you can do for a stable funding for government is to have a well-balanced stool,” Stokes explained. “Your legs are property tax, which we don’t embrace; income tax, which we clearly don’t embrace; corporate tax, which was very broken and we’re trying to fix some inequities in it; and then sales tax, which we’re over reliant on it.”
She’s hoping to change the legislative mindset regarding sales tax.
“There’s a lot of people that believe that a sales tax is good, because everybody has to pay it. They’re concerned with the people that are skipping out on their taxes, and those come in all socio-economic levels.”
She says while most acknowledge that sales taxes inequitably impact those at the bottom of the economic spectrum, sales taxes can be regressive for those higher up, as well, since sales taxes paid are never deductible.
“If I’m itemizing, I don’t want to pay a ton of sales tax. I would rather pay property and income tax that I can deduct.”
She adds Louisiana’s current tax policy is consistent with its economy, and the situation far too many of its citizens find themselves in.
“As long as we’re living at subsistence level – paycheck to paycheck – we can’t have a grand vision,” Stokes declared.