Haley’s budget cuts taxes, education

COLUMBIA, S.C. (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.