Jan. 10, 2013 11:02

Gov. Bobby Jindal is proposing to eliminate Louisiana's personal and business income taxes, in exchange for higher state sales taxes and the removal of some tax breaks.

BATON ROUGE, La. (AP) - Gov. Bobby Jindal is proposing to eliminate Louisiana's personal and business income taxes, in exchange for higher state sales taxes and the removal of some tax breaks.

Jindal's shopping the idea to lawmakers, who will consider it in the regular session that begins in April. In a statement Thursday, the Republican governor said eliminating income taxes will "put more money back into the pockets of Louisiana families" and make the state more attractive to companies.

It was the first peak at proposals Jindal will offer as part of his tax code rewrite.

He didn't say how much sales taxes would need to be raised - or which tax breaks he's proposing to eliminate - to fill the nearly $3 billion gap that would be left by eliminating income taxes.

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