The state is expecting the economy to improve next year, but the pandemic is making the outlook complicated. There are many promising signs in Tennessee, but officials say they want to be cautious.
Tennessee is betting on growth next year: not a lot, but not quite as modest as some projections. The State Funding Board predicts tax revenues will increase by about 1% in the next fiscal year, and between 2.5% and 3% the year after that.
This week, budget hearings begin at the Tennessee state capitol. They come at a time when it appears economists overshot how much tax revenue would come in to fund state government.
Tennessee Governor Bill Haslam defended his record on taxes before a Congressional committee Tuesday. He’s trying to convince lawmakers in Washington that states need more power to collect sales taxes from Internet retailers.