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Tax Cut Fever

April 23rd, 2008 by Mike Vasilinda

The most important commission that you have never heard of is on the verge of asking you to make the biggest change in state tax policy that has ever occurred. The proposal could eliminate the property taxes you pay for schools, But as Mike Vasilinda tells us, not without a major loss of services.

Voters may be asked to trade the taxes they pay on schools in exchange for a one cent hike in the state sales tax. The problems say opponents, is that the swap leaves a big hole in the state budget.

A penny generates about four billion, Senator Mike Haridopolus said. Where do you get the other seven billion dollars from? No one knows. Its a mystery.

If the plan makes it to voters and they say okay, Lawmakers may be forced to take drastic action and tax everything from dry cleaning to legal fees.

The only thing not on the table is a personal income tax. Yet.

And even an income tax could be put forth in the future, if separate plans moving through the state House to severely limit local tax collections. The League of Cities says the tax cutting fever has no direction.

There just seems to be this sort of zeal to put a bunch of things in a pot and throw spaghetti at the wall and see what sticks, Rebecca OHare with the League of Cities said.

The few lawmakers brave enough to vote against the tax cuts being pushed by GOP house members say there isnt enough information.

Good question, Rep. Scott Randolph said. Nobodys ever given us a run. I have no idea.

Under any of the proposals, drastic cuts in core services are likely. But voters do have the final say.

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