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Easley's Budget May See Extension Of Half-Cent Sales Tax

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RALEIGH, N.C. — A temporary sales tax may not be so temporary.

There is talk Gov. Mike Easley will extend the half-cent sales tax in his proposed budget. He will release his budget Wednesday.

The tax would raise more than $400 million to help cover the budget shortfall. The tax was to expire in June.

The governor is considering removing another temporary tax. Those who make more than $200,000 a year would see their income tax decrease. Eliminating the wealthy tax would cost the state $41 million.

A representative for Easley emphasizes his budget is still a work in progress.

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