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Some Lawmakers See State's Revenue Growth As Reason To Reconsider Sales Tax Rate

File photo: State Representative Lance Harris (R-Alexandria)

It took three special sessions for the Legislature to resolve the state’s fiscal cliff earlier this year. After months of deadlock, state lawmakers finally added slightly less than half a penny to the 4% sales tax rate in order to stave off a budget deficit. But in light of a budget surplus and the potential for increased revenue, some lawmakers are reconsidering that sales tax rate. 

State economists estimate Louisiana's income will be about $125 million higher than expected this fiscal year.  That growth is expected to continue into next fiscal year as well, which begins July 1, 2019.  To Representative Lance Harris (R-Alexandria), Chairman of the House Republican Caucus, that growth suggests the state is collecting too much money from taxpayers.

On this week's Capitol Access, Representative Harris explains why he and other GOP leaders in the House believe now is the time to consider rolling back that additional half penny of state sales tax.