(Columbia-AP) March 2, 2004 -- Governor Mark Sanford's plan to cut income tax rates for half the state's citizens has cleared the House Ways and Means Committee.

The proposal passed Tuesday on a 19-4 vote, indicating it may face little opposition in the House when it comes up for debate later this month.

Sanford's measure would cut the state's top income tax rate by about a quarter of a percent in each of the next ten years from 7% to 4.75%. The first cut would be automatic, but the other cuts would only happen if economic experts predict two percent growth or more in the state.

Some Democrats say growth at that rate won't be enough to offset the money lost from the cuts. They also say the tax breaks won't go to low income workers who could use them the most.

Last week South Carolina's chief economist Bill Gillespie says half of the state's taxpayers would see no benefit from the cut.

Sanford says the change is essential to the state's economy in encouraging growth by small business as the state recovers from its worst years of job loss since the Great Depression, "This is something that will help every small business out there, and if every small business was to add just one employee or two employees or not fire one, you would see our job situation turn around."

The governor says lowering the income tax will help move the state from economic dependence on big manufacturing plants which are now frequently moving abroad.

The Legislature would have to agree to put $62 million a year into paying for the reduction. If passed, the first reduction would take effect in 2005 tax year.

updated 9:19am by BrettWitt