Economist: Phasing in tax changes better than sudden shift

Nicole Kaeding of the Tax Foundation says those states phased in changes, including cuts in corporate and personal income taxes.

Kaeding calls Kansas “an example of what not to do.” She says that state “slashed revenue,” leaving officials with little idea of how much revenue the state will collect.

The Washington-based foundation analyzes federal, state and local taxes. Kaeding spoke Thursday to more than a dozen lawmakers at the Mississippi Capitol.

She didn’t make policy suggestions, but she pointed out that Mississippi does not tax some goods, such as prescription drugs, or some services such as getting a dog groomed or hiring an attorney.

WTOK
9/1/16