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Actions at the federal level could have big implications for state and local tax codes, too. For example, if there are major changes to the federal corporate income tax code, states would have to decide whether or not to couple their tax systems with the new federal code. If certain federal deductions or credits are eliminated or changed, it could also impact state personal income tax bases. If price levels change and result in changes to consumption patterns, it could affect sales tax revenues, too.
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