Suit filed against business margin tax initiative

CARSON CITY – A business group has filed a lawsuit challenging the legality of a union-backed initiative to impose a business margins tax in Nevada.

The suit filed Tuesday in state court in Carson City argues the Education Initiative being pushed by the Nevada State Education Association and Nevada AFL-CIO is deceptive, incomplete, and violates the single-subject rule for ballot measures.

In its suit, the Committee to Protect Nevada Jobs also argues that the initiative doesn’t require education funding be increased over current levels.

The initiative filed June 6 would impose a 2 percent margins tax on businesses that take in more than $1 million annually.

If it survives the court challenge, supporters will need to collect more than 72,000 signatures by Nov. 13 to send the proposal to the 2013 Legislature.

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