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Published February 04, 2011, 02:55 PM

Sales Tax Exemption for Clothes Loses in ND Senate

North Dakota lawmakers have defeated a second proposal to extend a sales tax break for clothing and shoes.

By: Associated Press,

BISMARCK, N.D. (AP) — North Dakota lawmakers have defeated a second proposal to extend a sales tax break for clothing and shoes.

North Dakota senators voted 34-11 on Friday to reject legislation to exempt clothing and shoes from the state's 5 percent sales tax. Local sales taxes also would have been exempted.

Earlier, the House turned down a proposed three-day sales tax "holiday" in August during the back-to-school shopping period.

Senate Democratic leader Ryan Taylor of Towner sponsored the permanent sales tax exemption. He says it would give a break to working families of limited means.

The exemption met resistance from local governments that didn't want to give up the sales tax revenue. More than 120 North Dakota communities have a local sales tax.

The bill was SB2333.

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