Hurricane Katrina and Local Taxes


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Here's an interesting fiscal angle to life post-Hurricane Katrina for the Gulf Coast region:

One year after Hurricane Katrina devastated the Gulf Coast, people across the region are still coming to terms with the impact that the storm had on residents, services, infrastructure, and even local tax bases. Some localities have experienced an immense growth in their sales tax revenues during the past year because residents of New Orleans and other Katrina-torn towns have relocated to other cities. Local governments are waiting to see how their population changes before deciding if it's necessary to change their local tax rates as a result of the influx of Katrina victims.

Parts of this post were originally published in CTJ's Tax Digest, a weekly email that highlights state and federal tax trends across the country. If you'd like to subscribe to the digest send an email to: ctj@ctj.org

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