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Ala. Senate Democrats Propose Tax Cuts

Montgomery, AL – The Democratic Caucus in the Alabama Senate is proposing temporary tax cuts to try to stimulate the state's economy.

The caucus unveiled a package Wednesday that includes removing the state's sales tax on new automobiles that are built in Alabama. The tax break would last one year.

Another bill in the package would remove the mortgage recording tax until January 2012.

Democratic senators estimated those two tax cuts would save consumers at least $12 million.

The package also includes a plan to provide more money for home loans and to give homeowners more notice before lenders foreclose on their homes.

(Copyright 2010 by The Associated Press. All Rights Reserved.)

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