During a legislative special session earlier this month, Senate Democrats, led by Bill Stone of Holly Springs, offered an amendment to postpone the beginning of its phase-in by one year.
Stone said the proposal would allow legislators “to catch our breath for a minute and see where we are with the tax cuts.”
Under the 2016 legislation, the tax cuts for businesses and on personal income will reduce general fund revenue by $415 million (in today’s dollars) over a 10-year period.
The first year the impact on state revenue is projected to be $18 million, for the fiscal year beginning July 1, and nearly $50 million for the fiscal year beginning July 1, 2018.
Stone’s amendment would have postponed the start of the phase-in to July 1, 2018, thus costing the general fund $18 million for that year and nothing for the upcoming fiscal year.
Lt. Gov. Tate Reeves, who presides over the Senate and is the chief architect of the tax cut plan, ruled the Stone amendment was “not germane” to the bill he tried to amend. That ruling prevented Stone from being able to offer his amendment.