Bipartisan tax reform bill passes the House, moves to Senate
March 09, 2017 05:10 PM
On Wednesday about 20 lawmakers from both parties had a meeting with Governor Martinez at the Roundhouse to discuss the budget crisis.
Governor Martinez opposes raising taxes which leaves lawmakers to wrestle with the challenge of raising revenue without more budget cuts to schools and healthcare.
House Speaker Brian Egolf says the meeting between lawmakers and the governor was a positive one.
“The big takeaway for me is that the communication between the legislative and the executive branch is open. And, we all understand what the common goal is. There’s a little bit of disagreement on how to get there. But those disagreements seem to be narrowing and I’m cautiously optimistic that we’re going to have a good outcome,” said House Speaker Egolf.
One point of the compromise was a tax reform bill that passed in the House unanimously the bill would close loopholes in the state gross receipts tax system, and remove dated exemptions.
Republican House Minority Leader Nate Gentry said this would level the playing field and says it would ultimately close the gross receipts tax statewide.
“In the longer term what it does is provide for a wider tax base so we would have a lower GRT rate so it’d reduce our state sales tax very significantly by removing a lot of exemptions and deductions that currently exist in our tax code,” said House Minority Leader Nate Gentry.
This bill is just a part of the puzzle as lawmakers are still facing the possibility of budget cuts if they can’t come up with a way to raise more revenue.
The Tax Reform bill now moves to the Senate as lawmakers are working to figure out how much revenue it will generate.
Updated: March 09, 2017 05:10 PM
Created: March 09, 2017 04:21 PM
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