POSTED: Wednesday, March 27, 2013 - 4:30pm
UPDATED: Wednesday, March 27, 2013 - 4:34pm
BATON ROUGE, LA (NBC33) — Democrats in the state legislature say the more they learn about Governor Jindal's tax plan, the less they like it.
The governor wants to eliminate corporate and personal income tax, while raising the sales tax and cigarette tax.
The House Democratic Caucus says retirees will be worse off, because they don't pay income tax; however, Jindal says that won't be the case, because they'll get rebates at the end of the year to cover their higher sales tax payments.
"That's money out of seniors’ pockets that maybe they’ll get back at the end of the year,” stated Representative Gene Reynolds. “This tax reform will put our seniors and our retirees at a very big disadvantage."
Governor Jindal says the change will create a lot of new jobs and grow the economy.
Democrats claim a lot of local services will be hurt, because they have relied on special sales tax increases that voters won't renew in the future.