Comprehensive Tax Reform?

The Taxation Realignment Commission, created last year to recommend ways South Carolina can overhaul its tax code, is set to approve its final report next month.

The Commission will vote on the final draft of its recommendations in December, before sending the finished report to the State Legislature.

TRAC says more than 40 percent of South Carolinians do not pay taxes to the state. While high unemployment is part of the problem, commissioners say high deductions and personal exemptions are another factor.

TRAC  recommends eliminating the cap on the sales tax, which currently stops at $300 for any purchase. Commissioners also propose adding a tax on groceries, utility bills, and prescription medicine. Cosgrove says the increases would be offset by lowering the state sales tax percentage.

The General Assembly chose the commissioners last year from different fields in order to have a diverse group studying the tax code. No legislators are on the Commission.

Certainly the state needs to correct issues that have been done over 40+ years - but, in light of recent Tea Party gains, the state needs to decide what business the state should be in - and then set the revenue level  where those tasks can be done to a level of excellence - whether it is education, roads, law enforcement,  or what ever.