Nevada tax initiative gets legislative hearing

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Nevada tax initiative gets legislative hearing

CREATED Mar 5, 2013

CARSON CITY, Nev. (AP) -- An initiative to impose a 2 percent business tax will get its first hearing before Nevada lawmakers.

The Assembly and Senate taxation committees hold a joint hearing Tuesday on the Education Initiative backed by the state teachers' union and other labor groups.

Supporters claim it would raise $800 million a year for K-12 education. They collected more than double the number of signatures needed to keep the initiative alive. If lawmakers don't pass it by March 15, it will automatically go to voters on the November 2014 ballot.

Passage by the Legislature is unlikely.

Republicans plan to dissect the bill and its consequences during Tuesday's hearing. The tax would be assessed against businesses making more than $1 million a year.

Critics argue the initiative doesn't guarantee more money for education.