Wednesday, May 12, 2010

City ups meals tax

The Sun is reporting that Lowell's meals tax is 7% as of July 1.  There are now over 90 of Massachusetts' 351 cities and towns who have taken advantage of the ability to levy a local tax on meals.  While I certainly understand the reasoning behind the raise and agree that it isn't going to affect my dining out habits, how do laws like this work at the local level?  Is this from now until it is repealed, or does it need to be approved annually?  As a rule, I think that all tax increases that are tied to 'recessions' or any other temporary explanation should have sunset clauses.  I have a feeling we'll neither get rid of the 'temporary' income tax increase we've had for years, nor the 'temporary' sales tax increase to 6.25%.  I bought a car recently - you do feel that extra percent and a quarter there!

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