Governor Perdue To Veto Sweeping Tax Breaks

Georgia Gov. Sonny Perdue said he would veto a sweeping new tax break that would slash the state’s capital gains tax in half over two years. Perdue said Monday adopting the tax breaks was “unattainable” amid the economic downturn.

By Randy Key
Published: May 11, 2009

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ATLANTA (AP) - Georgia Gov. Sonny Perdue said he would veto a sweeping new tax break that would slash the state’s capital gains tax in half over two years.

Perdue said Monday adopting the tax breaks was “unattainable” amid the economic downturn.

The measure would have doled out a $2,400 income tax credit to any business that hires someone who has been unemployed for at least four weeks. And it would create a one-year “new business tax holiday” that waives the $100 filing fee for new business.

Supporters said the efforts are aimed at putting Georgians back to work as the state grapples with high unemployment rate.

But critics said the capital gains cuts would rip an even greater hole in the state’s recession-ravaged budget - and would benefit only the wealthiest Georgians.