Nikki Haley's Budget Cuts Taxes, Education

4:43 PM, Jan 13, 2012   |    comments
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Nikki Haley delivers her budget proposal on January 13, 2012.

Columbia, SC (AP) -- Gov. Nikki Haley's first budget proposal calls for corporations and people to get a break on their income taxes, while public workers in South Carolina go a fourth year without a pay raise.

The Republican governor unveiled her recommendations Friday for the proposed 2012-13 state budget.

Nearly $140 million in tax relief would pay for the first of a four-year phase-out of corporate income taxes. It also would give most taxpayers an $84 reduction in their state income taxes.

Her proposed budget cuts a key funding stream for public schools by $76 million, reducing the so-called base student cost that primarily pays teacher salaries.

Her proposal includes $100 million to cover state employees' health care and pension increases. It also adds law enforcement officers and several family court judges.