Wednesday, January 25, 2006

Is Marion County's Food and Beverage Tax Stifling Business? The Libertarian Party of Indiana Isn't Surprised if This is the Case

Abdul Hakim-Shabazz of Abdul in the Morning on WXNT 1430 AM reports the following in his show notes:

". . . if you live in Marion County you need to go out and spend more on food and drink. Budget Director Chuck Schalliol says revenues from the Marion County portion of the food and beverage tax have fallen under projections. Shalliol says Marion County revenues have fallen $800,000 short of their expected goals, and if trends continue the project will fall short by more than $2 million. Shalliol says they don't worry about the shortfall for now, but they are keeping an eye on the trend."

Taxes on a usually discretionary expenditure driving away business? Just ask all the former employees and owners in the now devastated and largely bankrupt luxury boat industry if this happens. The federal "luxury tax" on these boats destroyed the industry and put a lot of workers out of work. The rich didn't spend their money because the luxury tax drove the price too high, and those who needed a regular paycheck lost their job.

I wonder if waiters, waitresses and bartenders will appreciate the Colts and their stadium more than a regular paycheck?

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