Lt. Governor Casey Cagle: Broad, Immediate and Fair Tax Relief is Best for Georgia

March 18, 2008

Today, Lt. Governor Casey Cagle and Senate members rolled out the Senate’s plan to provide broad, immediate and fair tax relief to every working citizen in Georgia.

“We are proud to announce our plan that will have delivered over $3.5 billion to Georgia’s taxpayers at full implementation.   Our objective is simple: stimulate the economy by providing a broad, immediate and fair income tax relief plan that will impact every hardworking Georgian, regardless of whether they drive an old Ford or a new Ferrari. 

“Virtually every good economist will attest to the fact that a broad income tax cut represents the single best fiscal policy to stimulate the economy.   That is why we believe this is the best plan for our state.  The impact will be felt this year when we put more money into the hands of hard working families and our economy will begin to recover now instead of later,” said Lt. Governor Casey Cagle.

The Senate plan will reduce income taxes 10% across the board for every citizen who pays income tax, not just those at the top rate of 6%.  The cuts will be phased in over five years in equal, annual installments, beginning July 1st of this year.  Because the same percentage cut is applied to all rates, the taxpayers who need the cut the most will receive a proportionately larger tax cut. 

The Senate plan will require the state legislature to live within their means and find real savings in the budget, rather than delaying the decision or shifting the burden to local officials.    The impact on economic development will be significant as well. By moving Georgia’s already low top-income tax rate even lower, our state will become more attractive to future employers seeking to invest in creating new jobs.