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Senate revives contentious tax bill - 3:18 p.m.

By The Associated Press

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Published: Wednesday, June 17, 2009

Updated: Wednesday, June 17, 2009

(AP) — The Senate has revived a contentious plan to postpone a scheduled tax break, and use the money to ease higher education budget cuts.

Senators overwhelmingly approved an amended bill that would delay until 2012 a tax break for individual taxpayers who itemize their state returns. The delay would give the state another $118 million to spend next year — money the Senate wants to dedicate to public colleges, to lessen budget cuts in the fiscal year that begins July 1.

The proposal is at the center of a rift between the House and Senate over the state budget, with the House opposed to delaying the tax cut.

The Senate's move on Wednesday means a committee of members from both chambers will meet to negotiate on the bill.



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