Jindal to Propose Eliminating Louisiana State Income, Corporate Taxes
Louisiana Gov. Bobby Jindal (R) will put forth a tax reform proposal that would seek to eliminate Louisiana's state income and corporate taxes and increase the state’s sales tax.
Jindal’s office confirmed those reports on Thursday to The Times-Picayune.
A report in the Monroe News Star indicated the sales tax would increase from four to seven percent, but, according to the Times-Picayune, Jindal’s office has neither confirmed nor denied the story.
The governor explained:
Eliminating personal income taxes will put more money back into the pockets of Louisiana families and will change a complex tax code into a more simple system that will make Louisiana more attractive to companies who want to invest here and create jobs
Tax reform will remove administrative burdens from families and small businesses and improve Louisiana's business prospects; create more business investment opportunities with increased job growth; and raise the state's profile in national business rankings.
Jindal said his administration will meet with “every legislator over the coming weeks to discuss the details of the tax reform plan.”
“Our goal is to eliminate all personal income tax and all corporate income tax in a revenue neutral manner,” he said. “We want to keep the sales tax as low and flat as possible.”
Jindal added that for too long, “Louisiana's workers and small businesses have suffered from having a state tax structure that is too complex and that holds back economic prosperity.”
“It's time to change that so people can keep more of their own money and foster an environment where businesses want to invest and create good-paying jobs," Jindal said.