Paying for Transit with Sales Taxes?
None by KCPW
Chamber, Businesses Call for Special Session
(KCPW News) As the Salt Lake County Council wrestles with a plan to ask voters to pay for $900 million in transit projects through their property taxes, local business leaders offer a different idea. KCPW's Julie Rose reports:
High-powered Salt Lake business leaders want Governor Huntsman to call a special legislative session to raise sales taxes. The Salt Lake Chamber's 2015 Transportation Alliance claims a ½ cent sales tax increase will provide enough money to finish four new TRAX spurs and extend commuter rail into Utah County, with some leftover for highway improvements.
Chamber President Lane Beattie says a sales tax increase is a more fair way to pay for transit projects than raising property taxes, as currently proposed by the Utah Transit Authority. He would like the question put to voters this November, which requires legislative approval. Voices for Utah Children analyst Sarah Wilhelm worries a sales tax increase will hurt the poorest Utahns
"The sales tax really places a disproportionate burden on people at the low end of the income spectrum. People making less than $16,000 a year pay a little over 8 percent of their income in sales and excise taxes," says Wilhelm.
The 2015 Transportation Alliance claims a sales tax increase of 1/2 cent in Salt Lake, Davis and Weber Counties, plus 3/4 cent increase in Utah County will yield enough money to finish the transit projects 15 years ahead of UTA projections.
Email to a friendPosted in KCPW Newsroom. Copyright 2008 KCPW
1. dc said:
add tax to gasoline tax.. people who drive cars.. it might encourage more to use transit TRAX. Sales tax hits people who can't afford it. Hit universities to donate for this. There would be easier enrollment for BYU students in SLC and U of U enrollment for students in Utah County. Hit the tax where the benefit is..
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