Tucsonans: Would You Pay More Sales Tax?
- Sales Tax News
- Jan 7, 2016 | Gail Cole
The residents of Tucson, Arizona, will soon be asked to weigh in on a potential city sales tax increase. Tucson City Council and Mayor Jonathon Rothschild have decided to ask the people if they would support a half-cent city sales tax increase, which would bring the city rate to 2.5%.
Tax hikes are rarely popular. City officials are considering one now because of a looming $40 million deficit. Unless there is a change, the city will face a general fund deficit of $50 million by fiscal year 2018.
An extra half-cent in sales tax could generate an additional $50 million annually, allowing the city to replace aging fire trucks and maintain existing services such as public transit and parks and recreation.
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