North Carolina's Senate Democrats are set to consider a plan that would change the state's tax system by reducing overall rates but add taxes to many services for the first time.
The Senate Finance Committee is to receive a proposal Wednesday that would lower the sales tax rate most people pay from 6.75 percent to 6 percent. A document highlighting the potential changes was obtained by The Associated Press.
Corporate and individual income tax rates also would be lowered, but more businesses would have to pay franchise taxes.
The proposal includes a 15-cent-per-pack increase on cigarettes and an alcohol excise tax to help the state generate more than $600 million in additional revenues in each of the next two years.
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