Legislators push to collect taxes

HOW THEY VOTEDRep. Tom Dickson, R-Cohutta: YesRep. Tom Graves, R-Ranger: YesRep. John Meadows, R-Calhoun: YesRep. Jay Neal, R-LaFayette: YesRep. Barbara Massey Reece, D-Menlo: NoRep. Martin Scott, R-Rossville: YesRep. Tom Weldon, R-Ringgold: YesRep. Roger Williams, R-Dalton: Yes

By Ashley Speagle

Correspondent

ATLANTA -- Some Georgia lawmakers say if the state were collecting all the taxes it is due, they wouldn't have had to vote last week for $1.2 billion in budget cuts for the current year.

The Georgia House passed an updated $17.4 billion budget for the 2010 fiscal year Thursday. It included cuts of about 8 percent for most state departments and three more furlough days for public employees.

The Association of County Commissioners of Georgia performed a pilot study in four counties, and Hall County alone has about 1,200 businesses that may not be paying sales tax, according to a media release.

Legislators this session will try to muscle through bills to enforce tax collections to prevent deep cuts in fiscal 2011.

Republican Reps. Larry O'Neal, R-Bonaire, and David Knight, R-Griffin, as well as House Minority Leader Dubose Porter, D-Dublin, introduced bills this month for the Department of Revenue to identify businesses that do not pay sales tax.

Rep. Porter voted against the amended budget Thursday.

"We have cheaters not turning in taxes," Rep. Porter said. "To vote for this budget means you think that's all right."

North Georgia lawmakers said at a legislative roundtable earlier this year they wanted to increase Department of Revenue funding to hire more tax collectors.

"We have uncollected taxes, and we should enhance this department, so we don't have to cut (other) department money," said Sen. Jeff Mullis, R-Chickamauga.

"The governor is cutting auditors," said Rep. Roger Williams said, R-Dalton.

During floor debate Thursday, Rep. Porter said the cuts to education alone could have been less severe had the House used other alternatives to bring in revenue.

He also said measures to enforce sales tax collections, as proposed in a bill last session, could bring in $1 billion.

Rep. Porter also said the severe cuts to education in the 2010 budget may force local governments to raise property taxes to bring in funds for schools for the coming year.

"We're going to cut $2.5 billion to your school system," Rep. Porter said. "The only way schools can make this up in the middle of the year is to cut teachers, the school year, something that will end up raising property taxes."

However, House Appropriations chairman Rep. Ben Harbin, R-Evans, said the 2010 budget money already goes out to departments while it is amended, making any last-minute changes difficult.

"With some of this money out the door, we kind of have to continue this fiscal year," Rep. Harbin said. "We're going to have to make some tough decisions about what state government should do."

Rep. James Mills, R-Gainesville, from the Hall County district studied on uncollected taxes, encouraged legislators to support the budget because its bare government expenditures uphold Republican values.

"What you have in front of you is less government and less spending," Rep. Mills said.

The Senate will take a look at the amended budget next before passing it to the governor to sign into law while the House pulls out the 2011 budget.

"We have moved this budget fairly quickly because we have some difficult work ahead of us in fiscal 2011," Rep. Harbin said.

State revenue decreased in January by 8.7 percent from revenue for January 2009. It was the 14th straight month of shrinking revenues, state figures showed.

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