2012 Tax & Finance Policy Statement

Click HERE for a printable PDF of the 2012 Georgia Chamber Tax & Finance Policy Statement.

Tax Policy -- The Georgia Chamber of Commerce recognizes the impact of global competition on businesses and supports tax proposals that encourage job creation and retention in Georgia. We recognize that businesses are the key to bringing jobs, economic development and an improved quality of life for all Georgians. We also recognize that business investment decisions are seldom made in a vacuum, and are decided based on a number of economic and quality of life variables.

The Chamber supports the efforts of the Special Council on Tax Reform and Fairness for Georgians, which provides a historic opportunity for developing recommendations to update and modernize our state tax code. The examination of the current tax base, tax rates and compliance issues helps bring attention to the need to make Georgia a better place for business already here and a more attractive destination for businesses looking to relocate.

As Congress and the General Assembly contemplate tax reform, the Chambersupports changes to tax policy that:

• are competitive with other states and internationally to encourage the location and expansion of businesses in Georgia;
• provide a sustainable, predictable and competitively neutral revenue system (one that does not unfairly single out specific industries or products);
• are balanced and draw revenue from a broad base without relying disproportionately on business revenues;
• recognize the negative impact of taxing business inputs or business-to-business purchases;
• recognize the negative economic impacts of double taxation;
• maintain administration of sales tax collections at the state level;
• consider dynamic economic modeling when analyzing the impact of proposed tax changes; and
• encourage economic growth, entrepreneurship and prosperity.

Tax Compliance -- The Georgia Chamber of Commerce recognizes that a distinct component of state tax policy is the cost of compliance. As a result, the Chamber supports:

• the adoption of legislation, rules and regulations, and administrative procedures that provide for ease of compliance by tax filers and access to meaningful data based upon such filings;
• prioritizing collection of taxes legally due the state before looking to new sources;
• state use of technology to help automate routine processes along with funding for adequate staff and equipment to process and audit returns; and
• adequate audits to ensure proper collection and disbursement of tax revenue.

Tax Court -- To assist in a more streamlined and efficient resolution of tax disputes, the Georgia Chamber of Commerce supports creation of an independent trial court over tax disputes involving the Georgia Department of Revenue. A tax court would also increase the uniformity of decision-making in tax cases, improve access to the judicial process and increase public confidence in the state tax system.