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The state is facing a $1 billion deficit, but there are common-sense solutions that would give 2/3 of Tennesseans a TAX CUT while still raising $1 billion or more in new revenue. Please support Tennesseans for Fair Taxation's just approaches to generating revenue with your sponsorship and vote. I do not support further cuts when we have the following options: A. Out-of-State Sales Tax Act (SB1489/HB1912) sponsored by Sen. Marrero and Rep. Stewart: Generates up to $365 million in revenue and improves competitive climate for local businesses by requiring out-of-state and online vendors selling more than $4,800 of goods in the state to report (and/or collect) use taxes owed by Tennessee consumers. B. Remove Single Article Cap Act (SB1417/HB1913) sponsored by Sen. Henry and Rep. Stewart: Generates up to $85 million in revenue and improves fairness in Tennessee's tax structure by eliminating the single article cap on big-ticket items. Currently, purchase amounts exceeding $3,200 are capped at a 7% tax rate while items priced under $1,600 can be taxed at the full 9.75% rate. C. Tennessee Small Business Protection Act (SB1614/HB1914) sponsored by Sen. Marrero and Rep. Stewart: Generates up to $200 million in revenue or more and improves fairness in Tennessee's business tax structure by closing a corporate tax loophole that allows multistate corporations to shelter income made in Tennessee. This Act would implement "Combined Reporting," a measure used by 23 other states to ensure revenue owed the state is captured and to provide a level playing field for local businesses that are required to report all income earned in the state. INTERESTING FACT: In 2004, Tennessee passed legislation requiring that every company sheltering income in this way report to the Dept. of Revenue the amount of income sheltered. From 2004 to 2008, the amounts ranged from $46-$76 billion. If this loophole was closed, and corporations' combined income was taxed at 6.5%, the state could receive $3-$5 billion in additional revenue each year.

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