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Reporter: Associated Press

SC study group gives sales tax increase initial OK

July 21, 2010

COLUMBIA, S.C. (AP) -- South Carolinians would pay taxes for groceries, music downloads and a host of other items under a plan that has been endorsed by a tax study committee.

The Tax Realignment Commission on Wednesday gave initial approval to a proposal to cut the state's sales tax by a penny, but collect the tax on many more items that currently are exempt.

The plan would impose taxes for the first time on a range of products people buy online.

The panel will take final action on the proposals later this year before wrapping up work by a November deadline.

The panel said the overall sales tax burden would fall from 6 cents on the dollar to 5 cents but the state would collect as much in sales taxes as it does now by expanding the list of taxable products.

(Copyright 2010 by The Associated Press. All Rights Reserved.)


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