Nine. Count them. Nine initiative petitions seeking the elimination of the state individual and corporate income tax have met state standards for circulation, according to the Secretary of State’s office.
All propose essentially the same thing: replace the income tax with an increased state sales tax.
If approved as an amendment to the state constitution, the measure would eliminate the state income tax on both individual and corporate incomes. It would require the legislature to increase the state sales tax up to 7%, with certain exceptions. The poor would be given tax rebates. Credits would be given for certain purchases. No price tag has been attached to the issue. The fiscal note attached will simply state that the cost, savings and change in tax revenue to state and local governments cannot be determined. Adding to the uncertainty is the action to be taken by the legislature if such an issue passes and how all this would change consumer spending habits.