By Scott Miller
Staff Writer

Gov. Mark Sanford will officially spark the debate on smoke taxes, income tax cuts and state spending caps when he formally reveals his executive budget Monday.

The governor previewed a few of his upcoming plans in the last month but won’t provide any more hints until Monday, said spokesman Joel Sawyer. 

While figures won’t be released until then, Sanford again intends to introduce a budget with spending capped at the growth rates in population and inflation, Sawyer said. Several lawmakers, including Sen. President Pro Tem Glenn McConnell, R-Charleston, hope to constitutionally mandate such a limit this spring.

At this point, Sanford has proposed tripling the funds directed to the S.C. Conservation Land Bank to preserve rural landscapes. He wants to increase bank funding from $15 million in the current fiscal year to $65 million in the upcoming budget.

That represents a miniscule portion of the state’s current $6.5 billion spending plan, however.

On the revenue side, Sanford will reintroduce a failed attempt to raise the state’s cigarette tax. He’s not asking for as much this time. Sanford proposed increasing the cigarette tax from 7 cents per pack to 37 cents.

The increase would move South Carolina’s cigarette tax –- the lowest in the nation –- in line with its neighbors: Georgia, 37 cents per pack; Florida, 33.9 cents; and North Carolina, 35 cents.

State coffers would get a $107 million boost, but Sanford wants the increase to be revenue neutral, meaning no tax increase without a tax cut elsewhere.

So his plan calls for a flat 7% income tax rate with an optional 50% cut for those who forego deductions.

Critics already have jabbed at Sanford’s proposed tax swap saying it would benefit the wealthy while placing more of the tax burden on low-income residents.