Committee rejects corporate tax

(January 21, 2004) — (Little Rock-AP) -- Legislators continue their struggle to raise up to 400 million dollars to pay for court-ordered education reforms. A House committee yesterday rejected a bill that would have allowed the state to tax revenues Arkansas companies earn in other states. Despite a lengthy agenda of bills for consideration by the House Revenue and Tax Committee, the corporate tax bill was the only bill offered for consideration by its sponsor. On Saturday, the House passed a 385 million dollar school funding formula. The plan was previously endorsed by the Senate. House members voted to hold the bill in the House for three days to give them time to see whether enough revenue could be raised to fund the formula, which specifies how two-point-seven billion dollars in annual funding would be distributed to Arkansas schools.