Expert warns tax break end would hit Tenn. hard

NASHVILLE, Tenn. (AP) -- A tax expert is warning state officials that Tennessee would be among the hardest-hit states if federal officials don't resolve the so-called fiscal cliff.

Dr. Stan Chervin, a senior research consultant with the Tennessee Advisory Commission on Intergovernmental Relations, updated Gov. Bill Haslam and other state officials Wednesday, saying states that depend heavily on sales taxes for revenue would feel the most stress if tax breaks are not extended.

He noted that about 54 cents of each tax dollar in Tennessee comes from the state sales tax. Tennessee has no broad-based income tax, like most other states do.

Chervin said if automatic tax hikes take effect in January, people will spend less and sales tax collections will fall.


You must be logged in to post comments.

Username:
Password (case sensitive):
Remember Me:

WVLT VOLUNTEER TV

6450 Papermill Drive Knoxville, TN 37919 Phone - (865) 450-8888; Fax - (865) 450-8869
Copyright © 2015 WVLT-TV Inc. - Designed by Gray Digital Media - Powered by Clickability 181389851 - local8now.com/a?a=181389851
Gray Television, Inc.