Over the weekend, Senate leadership offered a revised revenue package to the House. The new Senate proposed revenue package would raise $816 million.

The revised package proposed by the Senate further reduces the sales tax increase from two-tenths of 1 percent to one-tenth of one percent and retains the Working Family Tax Rebate. In addition, the new proposal increases the existing tax on beer to 50 cents per gallon; beer with micro-brews exempted, and extends the sales tax to candy and gum with in-state producers getting a jobs tax credit. Finally, the new proposal includes the House’s proposal to raise taxes on all tobacco products, not just cigarettes.

Overall the new Senate proposed revenue package raises $502.5 million in business-related taxes (i.e. court cases and loopholes).  The remaining $313.8 million in revenue is raised by:

• Taxing bottled water (effective May 1, 2010) ($35.3 million);
• Increasing taxes on cigarettes (effective May 1, 2010) and other tobacco related products (effective October 1, 2010) ($101.4 million);
• Increasing the sales tax by .10 (effective June 1, 2010)($90.3 million);
• Increasing the tax on beer by $0.50 ($57.8 million); and
• Extending the sales tax to candy and gum ($29 million)

As of today, most House members had not seen the Senate’s new revenue proposal.