Islanders will be able to hear the plans at a presentation on 28 October at a public meeting in St Anne.

If Guernsey follows Jersey's lead and corporation tax is abolished in 2008 it will create an estimated �48m hole in the Guernsey's States budget.

Higher rateable values on properties and increased social security payments have been proposed to fill the gap

Treasury and Resources Minister, Lyndon Trott, and States Treasurer, Dave Clark, will present the new plans.

Corporation tax is due to be abolished in an attempt to keep companies in the islands.