Gov. Sanford pitches tax relief in Florence stop
By TERRY WARD
Morning New
Thursday, October 21, 2004

spacer Gov. Mark Sanford visits Copy Rite Systems on South Irby Street in Florence on Wednesday.
Gov. Mark Sanford visits Copy Rite Systems on South Irby Street in Florence on Wednesday.
Heidi Heilbrunn (Morning News)

FLORENCE - Gov. Mark Sanford was in Florence on Wednesday to bring attention to a part of the legislative agenda he intends to push when the General Assembly convenes in January.

“Income tax relief is simply the single most important thing we can do to improve our underlying business climate, create new jobs and raise income levels here in South Carolina,” Sanford said.

He made the comments to about 25 people at Copyrite Logowear, a Florence small business owned by Wayne Lynch.

Sanford’s plan would reduce the state’s 7 percent income tax by 0.25 percent for two years, then by 0.5 percent in each of the next five years and then by 0.25 percent in the sixth year to end up at a 4.75 percent rate.

Sanford said tax rate cuts would be halted in years in which projected budget revenues don’t increase more than 2 percent. Sanford said the plan, which he’d like to see implemented in 2006, would bring South Carolina’s income tax in line with states South Carolina competes with.

“South Carolina’s top income tax rate of 7 percent is effectively the highest in the Southeast,” he said, adding that South Carolina’s tax is 130 percent of some other state’s.

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Hear Gov. Mark Sanford's proposals at Copyrite Logowear on South Irby Street in Florence.
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“I understand what he is trying to do. And I think we need a change. It would be good for the state,” said Lynch, who was notified Monday night that the governor wanted to conduct the press conference at his printing and embroidery shop.

Lynch said that while Sanford’s priority is income tax reduction, personal property tax is an issue he would like to see addressed, too.

Copyrite, which has nine employees, is like many of the state’s small businesses, Sanford said in explaining why he came to Lynch’s shop.

“Ninety-five percent of businesses in the state have 50 employees or fewer. Seventy-five percent have 10 or fewer employees, and 50 percent of the businesses have five employees or fewer,” the governor said.

As for the chances of Sanford’s proposal becoming law, the House of Representatives passed the income tax relief proposal with an 86-24 vote last year, but the legislation did not get out of the Senate.

“We had enough votes (in the Senate) to pass it, but we were three votes short in getting it (out of committee and) up for a vote,” Sanford said.

He said that is part of the reason he is promoting the tax relief proposal.

Sanford listed income tax relief as one of five issues in his “Contract for Change.” Another point in that agenda includes updating the rules of the state Senate, which he said would help prevent ideas from getting “bottled up” in committee.

Other issues included in Sanford’s five-point legislative agenda, or contract, are government restructuring, more education choices for parents and tort reform.

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