The four states bordering Alabama have been proactive on tax relief in recent months.
Mississippi taxpayers have seen significant cuts in their state income tax burden. Florida and Georgia's motorists are the beneficiaries of fuel tax suspensions. And a grocery tax holiday will soon be underway in Tennessee.
However, Alabamians will have to wait until the 2023 legislative session for the possibility of any new tax breaks, when lawmakers are expected to debate how to allocate another $1 billion in American Rescue Plan Act (ARPA) funds.
State Rep. Steve Clouse (R-Ozark), the chairman of the House General Fund Budget Committee, said tax relief will not likely be a part of the ARPA appropriations but could come from other sources.
During an appearance on Wednesday's broadcast of Mobile radio FM Talk 106.5's "The Jeff Poor Show," Clouse argued ARPA money should be focused on one-time projects.
"I wouldn't think so," Clouse replied. "I think we need to focus on these one-time brick-and-mortar building-type projects that are going to be here for years and years and to benefit our citizens for generations to come. Like I said, we have a severe need in the rural broadband areas. We need to get that process continuing. We've already put a significant amount of money in it. We've got a long way to go.
"But we need to do something on the tax-relief side here. Probably a one-time issue that would be broad-based. We did a lot in the last session. I think we had five different bills. There was one I sponsored dealing with the business privilege tax that gave $160 million in tax relief. I can see us doing a one-time relief there, primarily coming out of the education budget to go back to taxpayers around the state."
To connect with the author of this story, or to comment, email jeff.poor@1819News.com.
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