Officials see no conflict between ideas of administration, Legislature on tax reform

The Legislature is reviewing the state’s hundreds of tax credits, rebates and exemptions, and some lawmakers hope to find new revenue, especially now as the state braces for yet another round of midyear budget cuts. Shortly after the Legislature began its effort this summer, Gov. Bobby Jindal declared tax reform his top priority. Jindal says his plan, which hasn’t yet been announced, will be “revenue neutral”; but administration officials say, despite media reports to the contrary, there’s no inherent conflict between what they’re working on and the Legislature’s efforts. “It’s two separate issues: how much revenue, and how you collect that revenue,” says LED Secretary Stephen Moret. The administration hopes a simpler, flatter tax code will be easier for business owners and prospects to navigate and understand. “I think you’ve got a segment of the Legislature, the fiscal hawks, that still want to say, ‘Reduce,’ ” adds Tim Barfield of the Department of Revenue. “A segment says we need more revenue. … Whatever the revenue number is, there’s just a better way to get it.” Greg Albrecht, the Legislature’s chief economist, was surprised by the suggestion that there’s no conflict between the two efforts. “[Legislators are] sitting in committee saying, ‘The administration’s not going to support elimination of any of these things,’ ” he says. “The primary package will be the administration’s proposals, and anything [legislators] come up with probably won’t survive if it conflicts with the primary package.” —David Jacobs