Letter to the Editor: Sales tax hike has flawed argument

To the Editor:
Mar 11, 2014

To the Editor:

While watching the news the other night, our illustrious mayor was interviewed about the proposed sales tax increase. He stated that by raising the sales tax by one half of one percent the city of Lebanon could reduce property taxes on a $200,000 home by $100, which was suggested to be a “no brainer.” That is an interesting proposal given the fact that my city property taxes rose by 75 percent in 2013.

I suppose we can trust our illustrious mayor and our stellar city council to lower our property taxes if we vote to increase the sales tax. I wonder why the property taxes were increased in 2013 in the first place. Someone told me that more schools have been built. That is only part of the increase in taxes.

The argument goes that a sales tax is a fairer tax because everyone has to pay, including visitors to our community. In an absolute sense this is correct. However, it is a flawed argument because those least able to pay higher taxes will have to spend more of their income for taxes; the reason being that those less fortunate have to spend a larger proportion of their income to purchase items.

These less fortunate spend a large percentage of their income for food, shelter, clothing and transportation, not having money left over to purchase an Audi, Mercedes, etc, sales taxes being spent out of the county, by the way. These less fortunate also have nothing left over to save or invest.

No Mr. Craighead, I really believe that the increase in taxes is an unfair proposition and is planned to be spent on your failed Cumberland Center proposal. I would suggest that you return to a smarter decision than this “no brainer” proposal.

Frank C. Newbell

Lebanon

 

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