Report: $130 million in tax cuts needed

PROVIDENCE, R.I. (WPRI) - The Governor's tax reform workgroup is calling for about $130 million in tax cuts.

Right now, Rhode Island's corporate tax rate is one of the highest in the region. However, a new report recommends reducing it to almost nothing. Revenue lost by the decrease would, in theory, be replaced by income tax created by the new corporations that would come to Rhode Island seeking the lower rate.

RIPEC member John Simmons says "You'd have the activity within the state of growing jobs and having business stay or grow here...or coming back to Rhode Island. We are now losing employees, losing jobs, losing business... Part of it is the corporate tax structure here."

The committee report also recommends property tax changes.