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TENNESSEE REJECTS AD-TAX PROPOSAL

Published on .

(June 8, 2001) -- State Senate negotiators in Tennessee have rejected a tax on business services, which would have included advertising, as well as a new state income tax. They have chosen instead to increase the state sales tax. That proposal, however, was drawing heavy oppostion in the House, leaving the fate of the state's tax proposals in doubt until next week. Legislators are under pressure to alleviate a budget deficit of nearly $1 billion. -- Ira Teinowitz

Copyright June 2001, Crain Communications Inc.

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