Local News

Sales Tax Extension Could Be Part Of Governor's Speech

Posted February 21, 2005 6:39 a.m. EST

— Monday night will be an important night for Governor Easley and North Carolina as the governor delivers his state of the state address.

The governor will lay out a number of ideas, including budget proposals.

According to a published report, the proposals include a half-cent sales tax, which is set to expire this summer.

Keeping the tax would bring in more than $400 million in the next fiscal year.

The governor also reportedly wants to roll back a hike in the income tax rate for people who make more than $200,000 a year.

That would cost the state more than $90 million.

The state is facing a budget shortfall of $1.2 billion.