AUGUSTA

A bipartisan group of lawmakers unveiled a proposal Wednesday to overhaul Maine’s tax code by lowering individual and corporate income taxes, eliminating the estate tax, extending the sales tax and eliminating nearly all income tax exemptions.

The five Democrats, five Republicans and one independent lawmaker said the plan would offer Mainers property tax relief.

The plan slices the state’s individual income tax rate to a flat 4 percent — the highest rate now is 7.95 percent — and nixes nearly all income tax deductions. It eliminates nearly all sales tax exemptions and ups the 5 percent sales tax to 6 percent.

Cigarette taxes would rise to $3.50 a pack from $2. And the plan would phase out all economic development incentives offered via the tax code.

The legislation — which has yet to be formally released — would raise taxes on hotel stays to 10 percent from Maine’s current 7 percent. And the package proposes raising the state’s homestead tax exemption to $50,000 as a way to relieve residents’ property tax burden. The homestead exemption currently exempts the first $10,000 of value from tax.

The plan would change how the state taxes; it would not raise the amount of revenue.

The “Gang of 11” includes Democratic Senate Leader Seth Goodall of Richmond, state Sen. Emily Cain, DOrono; Rep. Mark Dion, D-Portland; Rep. Amy Volk, R-Scarborough; Rep. Lance Harvell, R-Farmington; Rep. Nate Libby, D-Lewiston; Rep. Dennis Keschl, R-Belgrade; and Rep. Sara Gideon, D-Freeport.

FOR MORE, see the Bangor Daily News at bangordailynews.com.