Montgomery – State Rep. Jim Patterson (R – Meridianville) on Thursday praised the Alabama House for its passage of the “Tax Elimination Act” legislation he is sponsoring and called on the State Senate to take quick action on the bill when it reaches the floor.
The House approved the measure unanimously with a 96 – 0 vote.
The bill, which is part of the House Republican Caucus’ Commonsense Conservative Agenda that was unveiled several weeks before the session’s start, provides the Alabama Department of Revenue with the authority to suspend taxes and fees when the cost of collecting the tax exceeds the amount of revenue it brings in.
“While Barack Obama and congressional Democrats on the federal level continue looking for ways to increase the tax burden on Americans, the members of the Alabama Legislature have refused to pass or even consider a single new state tax since the current term began,” Patterson said. “My bill takes the ‘no new taxes’ pledge a step further by doing away with current taxes already on the books that commonsense and simple economics indicate we shouldn’t be collecting in the first place.”
Patterson said the rules pertaining to ADOR’s authority to suspend taxes would be reviewed by the Legislative Council, and the department would be required to inspect them every five years, as well. If a future determination reveals that the cost of collecting a tax no longer exceeded its revenue, its suspension would be lifted.
Patterson’s legislation is one of a set of bills prioritized in the House Republican Caucus’ Commonsense Conservative Agenda, which includes pro-business, economic development, and tax relief measures, as well as other bills addressing important social issues like protecting unborn life and preserving personal religious and moral freedoms from federal mandates.
The bill now moves to the State Senate for consideration.