Sales tax hike would help property taxpayers, avoid 'slash and burn' cuts, supporters say
Raising sales taxes could help give Nebraska property taxpayers a boost while averting "slash and burn" cuts to K-12 schools, supporters of two proposals told a legislative committee Wednesday.
The measures (LB313 and LB312), sponsored by Sen. Tom Briese of Albion, would increase the state sales tax by one penny on the dollar and eliminate tax exemptions for a wide range of services as well as certain products like candy and soda pop.
Those changes could generate an estimated $600 million or more each year for tax credits for property owners and low-income workers, with minimal impact on the overall state budget.
"There's two ways to property tax relief: We cut spending, slash and burn spending, and may or may not have a K-12 education system left; or we change how we pay for things," Briese told members of the Revenue Committee during a public hearing that lasted more than six hours.
Read more: http://journalstar.com/legislature/sales-tax-hike-would-help-property-taxpayers-avoid-slash-and/article_26975797-a385-5a84-889a-9ab3197a2007.html