COLUMBIA, S.C. - House Republicans are poised this week to consider an income tax break targeting wealthy retirees and business owners, but Democrats say a sales tax cut on groceries would benefit more people.

Despite sagging state revenues four years ago, House Republicans fought to preserve a tax cut on groceries that ultimately failed. Now that state's budget is back in the black, the grocery tax break has fallen into a black hole.

Republicans and Democrats alike say that's because GOP Gov. Mark Sanford has made an income tax break targeting retirees and business owners the top tax-cutting priority, and legislators are more interested in property tax relief.

Sanford and his allies say lowering the state's top tax bracket to 4.75 percent from 7 percent over the next decade is critical for spurring economic growth. When fully implemented, Sanford's income tax plan helps people on the top half of the state's income ladder pay $1 billion less in taxes.

That break will help business owners who file income tax reports on personal returns and make the state competitive in attracting wealthy people, Sanford said when he released his executive budget earlier this month.

While Republicans have shifted their tax priority, two Democrats are leading a grocery tax break effort.

Lowering the state's top income tax bracket "does not affect everybody. Relief on the food tax affects everybody," said Sen. Dick Elliott, D-North Myrtle Beach.

"Everybody eats, so you have a huge across the board" benefit, he said. "Low income people and high income people have a reduction."

In the House, Rep. Herb Kirsh, D-Clover, shares that concern and others. His York County constituents have a local option sales tax of 1 percent on top of the 5 percent state sales tax. Many of his constituents in York County skip across the border to stock their pantries and cash in on North Carolina's 3 percent grocery sales tax.

"You spend $500 in York County, you pay $30 in tax," he said. It's half that across the border, Kirsh said, and local grocers suffer.

But beyond the economics is the principle, Kirsh said. "We shouldn't be taxing food. That's a necessity of life."

However, Kirsh said he'll support the income tax cut "because we're not going to get the food tax."

"The governor and the business people want this other one," he said. "You don't ever hear them talking about the food sales tax."

Four years ago, Republicans complained for months about then-Gov. Jim Hodges' plans to eliminate the grocery sales tax over five years, saying it would cost $259 million.

Ultimately, the sales tax relief became a key issue when the Senate and House bargained on a final version of the 2001 budget.

Hodges, a Democrat, eventually vetoed the break so colleges would get more money to keep tuition increases in check as the schools faced budget cuts.

Commitment to the break was strongest in the House, where Ways and Means Chairman Bobby Harrell, R-Charleston, defended it.

"Tax relief for families in South Carolina is so important that it must be done in this year or any other year," Harrell said then. "This is something that families in South Carolina need to have done and we're going to stand firm and do everything we can to make it happen."

Harrell said last week the grocery tax cut is the right thing to do, but "it is being drowned out by the desire to do income tax and property tax."

"We're talking about income tax reduction, which is what we need to do for the economy," Harrell said. "We're talking about property tax reduction ... because there is a lot of desire to do that around the state. I'd love to reduce the sales tax on groceries, but it clearly would fall behind those other two efforts. And when you finish those, hopefully we'll talk about it."