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The scaled-back Senate tax hike emerges

Post by Jordan Schrader / The News Tribune on March 19, 2010 at 3:50 pm |
March 19, 2010 4:18 pm

The Senate is about to make a formal offer to the House on taxes.

Senators are on the floor considering amendments to their revenue package that would bring it from $890 million to $809 million by exempting more professionals from a business-occupations tax increase and paring down a proposed sales-tax increase.

Senate Democrats said they would exclude hospitals, real-estate agents and scientific research and development from their proposed 0.25 percent B&O tax increase.

There is also an amendment to eliminate proposed limits on tax breaks for solar-energy projects.

The smaller sales-tax increase would be two-tenths of a cent instead of three-tenths of a cent. Enough to sway House Democrats into voting for a sales tax? We’ll see.

UPDATE: The Senate approved the new tax package, 25-18.