Taxes! Soon the Dems will weigh in

I'm thinking the proposal will include a sizable increase in the state's homestead exemption - maybe even enough so residents won't pay property taxes at all on their primary home. Chances are they'll also call for an end to austerity cuts for school systems, too.

You may also see the Dems pick and choose from among the Georgia Budget & Policy Institute's recommendations, some of which are already in line with the speaker's plan, some of which aren't. Those include:

- Doing away with various sales tax exemptions.
- Expanding the sales tax base by including services. (That could give you a BIG chunk of funding for schools.)
- Increase cigarette taxes.
- Create a state earned income tax credit similar to the federal one to reduce taxes for the working poor.
- Modernize tax brackets and rates, which the GBPI says have not changed significantly since the 1930s.
- Adjust income tax for inflation, allowing personal tax exemptions to keep pace with the economy.
- Insert a "property tax circuit breaker," which would cap the amount a person can pay in property taxes based on income. For example, property taxes could be capped at 5 percent of a homeowner's income, with the state making up the rest through an income tax refund.
- Close corporate tax loopholes.
- Re-implement the estate tax.

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