Originally published on Fri March 15, 2013 7:50 pm
Gov. Bobby Jindal went before the legislature Thursday to unveil his tax proposal. He wants to eliminate the income tax and says the state can make up the gap with a higher and more expansive sales tax.
The proposal would make Louisiana the state with the highest sales tax in the nation. Combined with local sales taxes, Louisianians would pay an average of 10.75 percent in sales tax. And the state would start taxing things that haven’t been taxed before – like landscaping, haircuts, and cable and Internet services.
Gov. Bobby Jindal is proposing to eliminate Louisiana's personal and business income taxes, in exchange for higher state sales taxes and the removal of some tax breaks.
Jindal's shopping the idea to lawmakers, who will consider it in the regular session that begins in April. In a statement Thursday, the Republican governor said eliminating income taxes will "put more money back into the pockets of Louisiana families" and make the state more attractive to companies.
It was the first peak at proposals Jindal will offer as part of his tax code rewrite.
Hunters and campers will pay no sales tax on firearms, ammunition and hunting and fishing supplies during this weekend's Louisiana Second Amendment sales tax holiday.
Beginning Friday, eligible purchases are exempt from the 4 percent state sales tax and all local sales taxes. The exemption runs through Sunday.
The exemption applies to a variety of supplies including shotguns, rifles, pistols, revolvers, all ammunition, hunting or fishing accessories, apparel such as safety gear and camouflage clothing and off-road vehicles designed for hunting.
The city of Hammond's economy is on a 17-month roll. Sales tax receipts are up 7 percent compared to the first half of 2011. Mayor Mayson Foster says the numbers indicate not only a strong economy in Tangipahoa Parish, but also that people are staying in Hammond to make their purchases rather than going elsewhere.