Natural State News

This month, anti-tax advocate Grover Norquist visited Arkansas legislators to discuss potential tax cuts in the state. 

David Ray, a member of the Arkansas House of Representatives, tweeted Oct. 21 about a meeting that the legislature had with Norquist, who is the founder and president of Americans for Tax Reform, regarding tax cuts being considered by the state. 

In his tweet, Ray said, "It was great to have @GroverNorquist of @taxreformer in #Arkansas today to discuss strategies for reducing the tax burden on hardworking Arkansas families!"

Gov. Asa Hutchinson delayed the special session that would have included discussions about tax cuts,  the Associated Press reported Oct. 20. However, it is expected in the near future. The governor cited the need for more time to develop a comprehensive package.

“While I think that there is a proposal coming together on tax reduction that will have broad-based support, I think there’s still just some details to finalize and preparations to be made as we move into a special session,” House Speaker Matthew Shepherd said, according to AP.

The governor's intends to reduce income taxes in the state, Natural State News reported Oct. 12. There are still multiple plans being discussed by legislators and a consensus has yet to be reached.

The motivation to decrease income tax in the state comes from a stable economy combined with the fact that the state has received higher than expected income tax revenue and thus has run a surplus on its budget for the past 31 months. There is also competition from the state's neighbors and keeping a high income tax may put the state at a disadvantage, Natural State News reported Oct. 13. 

Texas and Tennessee, two of Arkansas' nearby neighbors, already have a tax system in place that does not collect individual income taxes, according to Tax Foundation. Mississippi and Louisiana offer lower rates than Arkansas.