The Palmetto Insider

The blog of the South Carolina Policy Council

TRAC Meeting Last Friday

with one comment

The Taxation Realignment Commission (TRAC) had its penultimate meeting last Friday, with important items on its agenda, including final votes on their individual income tax and “other funds” recommendations for the General Assembly. Before a smaller than typical crowd, Chairman Burnie Maybank explained that the first vote would relate to the individual income tax proposal as amended. The amendments referred to would include an addendum to the recommendations themselves, including additional options for the General Assembly if the recommendations were not fully accepted. The motion to accept the first proposal passed unanimously. The next item was the “other funds” proposal, which also passed unanimously. Finally, the full TRAC formally received the draft proposal of recommendations from various subcommittees related to fair tax, soft drinks, conformity, and property tax. After receipt of the draft for property tax, Maybank elaborated on a number of recommendations contained within the drafted proposal, including:

  • Repealing the personal property tax exemption for banks and savings & loans;
  • Repealing the personal property tax exemption for timeshares (which Maybank noted was likely one of the most controversial);
  • Establishing a filing requirement to counter the lack of enforcement of current state law which requires a private, for-profit entity to pay property taxes equivalent to its competitors even when leasing property from an exempted entity;
  • Raising the criminal penalty for making a false statement regarding ag-use from $200 to $1000;

Immediately following the full TRAC meeting, the TRAC Corporate Tax Subcommittee met briefly to review the recommendations that had previously been presented at a meeting on September 30th at which some members were not present. Finally, the TRAC Tourism Subcommittee met to vote on their own draft proposal. Although the draft proposal passed unanimously, Commissioner Don Weaver expressed his intention to inform the full TRAC of his opposition to “the timeshare issue” upon the submission of their report. The full TRAC will have their next and final meeting on October 28th in Gressette 105, after which the commission must submit their full report to the General Assembly on November 1st.

 

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Written by SCPC

October 25, 2010 at 11:37 am

One Response

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  1. […] efforts in both Georgia and South Carolina (i.e., the Taxation Realignment Commission: see here and here). The next State Tax Working Group meeting will be held December 8th, along with their annual D.C. […]


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