May 17, 2007

For immediate release...

Press conference locations & contacts:

• Tri-Cities: 10:00 am in the meeting room at the Sullivan Co. Library in Blountville
  Contact: Tiffany Hartung at 865-684-3715
• Knoxville: 2:00 pm at the TFT Office, 2918 E. Magnolia Ave
  Contact: Tiffany Hartung at 865-684-3715
• Nashville: 1:00 pm at the State Capitol in the Library / Legislative Lounge across from Sen. Chambers
  Contact: Bill Howell at 615-289-1397
• Memphis: 1:00 pm at the Memphis Center for Independent Living office
  Contact: Beverly Owens at 901-406-7878

Coalition calls for permanent food tax cut, takes message to YouTube

As legislators enter the final weeks of the legislative session, Tennesseans for Fair Taxation (TFT) and others work to ensure a permanent, across-the-board food tax cut is part of the final package. With a vote likely in the next two weeks, TFT's takes their message to YouTube, an on-line site where videos can be uploaded and shared with the general public. At press conferences held in four cities across the state today, TFT unveiled a new on-line video that depicts the impact the food tax has on families across the state.

"The simple fact is, Tennessee's high food tax takes a whole months worth of groceries off the table of every Tennessee family each year," states Dick Williams of Tennesseans for Fair Taxation (TFT). "If you spend $600 a month for groceries, then you pay $600 a year in food taxes. If you spend $300 a month on groceries, then you pay $300 in food taxes... For many Tennessee families on the edge, the cost of putting food on the family table means the utility bill doesn't get paid that month or the mortgage payment goes in late."

The new on-line video the group posted on YouTube depicts Department of Revenue officers in SWAT-style uniforms swarming in on unsuspecting grocery store shoppers as they make their way to their cars. The Revenue officers seize the groceries of these reluctant taxpayers and haul them off to the Capitol in order to balance the state budget.

Williams adds, "80% of Americans pay no state food tax where they live. Of those who do pay a food tax, nowhere in the country do people pay an average state and local food tax as high as they do in Tennessee. That's just plain wrong. This year we have the power to change that... but it will take more than a one-time holiday or some limited milk and eggs exemption. We are calling on state legislators to enact a permanent food tax cut on all food, all the time."

The group has been advocating for a food tax cut paid for with an increase in the state cigarette tax, a bill commonly referred to as the Tax Swap. While Tennessee's combined food tax in the nation's highest, the cigarette tax is among the nation's lowest at 1/5th the national average of $1 a pack. Even if the Governor's cigarette tax increase for education passes in full, Tennessee's cigarette tax will still be far below the national average while our cigarette tax will still be the nation's highest.

"Our basic message to legislators is this... Whatever cigarette tax increase is approved for the Governor's education initiatives, add another 27 cents so we can also cut the state's high food tax." concludes Williams.

A forwarding link to the YouTube video will be at http://www.fairtaxation.org/YouTube beginning at 10 a.m ET on Thursday, May 17.

The Food Tax - Cigarette Tax Swap (SB93/HB114) as originally drafted would cut the food tax in half, paid for with a 44 cent cigarette tax increase. Senate sponsors of the Tax Swap include Senators Doug Jackson (D-Dickson), Tim Burchett (R-Knoxville), Tommy Kilby (D-Wartburg), Rusty Crowe (R-Johnson City), Bill Ketron (R-Murfreesboro), Raymond Finney (R-Maryville), and Lowe Finney (D-Jackson). House sponsors of the Tax Swap include Representatives David Shepard (D-Dickson), Beth Harwell (R-Nashville), Eric Swafford (R-Pikeville), Harry Tindell (D-Knoxville), Mike Turner (D-Old Hickory), Joey Hensley (R-Hohenwald), Sherry Jones (D-Nashville), Ben West (D-Hermitage), Janis Sontany (D-Nashville), Eric Watson (R-Cleveland), Park Strader (R-Knoxville), John DeBerry (D-Memphis), Mike Bell (R-Riceville), Kevin Brooks (R-Cleveland), Mark Maddox (D-Dresden), Dale Ford (R-Jonesborough), Glen Casada (R-College Grove), Debra Maggart (R-Hendersonville), Susan Lynn (R-Mt. Juliet), and Thomas DeBois (R-Columbia). Legislative sponsors can be reached at 800-449-8366.

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