DP: What? GOP Has Plan For Tax Cuts

It may seem odd to cut taxes when state revenues fell 15 percent last year. But some House Republicans are drop-dead serious about a plan to cut income tax rates - both personal and corporate - by about a third. Led by House Majority Leader Mike Moyle (picture foreground), they acknowledge their idea often brings a “what-are-you-smoking?” response. The sponsors have rejected a fiscal note prepared by the Tax Commission in consultation with Gov. Butch Otter’s budget office. The commission said the plan would cost $55 million in 2012 and about $250 million in 2021, said Rep. Marv Hagedorn of Meridian. Hagedorn said the figures “don’t make any sense” and ignore the stimulative effect of tax cuts. Instead, he’s working with the legislative budget office to estimate the bill’s impact/ Dan Popkey , Idaho Statesman. More here .

Question: Would tax cuts work to stimulate the Idaho economy at a time when state revenues fell 15 percent, schools are facing holdbacks, and some agencies are facing elimination altogether?