CHICAGO – Minnesota Gov. Mark Dayton unveiled Tuesday a proposed $37.9 billion two-year budget for fiscal 2014-2015 that overhauls the state’s tax code, lowering but broadening the sales tax and raising income tax rates on top earners.

The net revenue increase expected from the tax overhaul would help close a $1.1 billion deficit, pay for property tax relief, and provide an additional $640 million for early childhood, primary, secondary, and higher education. The budget provides an additional $240 million for local and county government aid.

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