Haslam: Tax cuts ‘right thing to do,’ even with revenue shortfall

Gov. Bill Haslam says he has no second thoughts about the tax cuts he has pushed, even as he says his next budget will be the hardest his administration has drafted yet, reports The Tennessean (as part of a political notebook).

Haslam raised exemptions from the Hall income tax on investments and approved plans to phase out the inheritance and gift taxes in 2012 and 2013, arguing these cuts would attract investors into the state, especially retirees.

…“I honestly think that cutting the inheritance and gift taxes long-term will increase revenue,” Haslam told reporters last week. “The cause and effect isn’t quite that immediate, unfortunately.

“But do I long-term think that’s the right thing for the state? You bet I do.”