Wednesday, February 07, 2007

Report: Granholm will call for 2% sales tax on services

Uh oh. I think I just heard Nolan Finley's head explode.

LANSING – Michiganders would pay a 2% tax on most services — from tickets to movies and concerts to haircuts to auto repairs — under a proposal Gov. Jennifer Granholm will make Thursday to try to solve the state’s budget crisis.

Two-thirds of the revenue from what the administration is calling an excise tax would come from business transactions such as accounting, consulting, legal or tax services.

Health care, including day care, government and school purchases would be exempted.

The “two-penny plan” would raise an additional $1.5 billion annually. For a family of four with an annual income of $57,000, administration officials estimate $67 in new taxes.

Sounds alright to me, but then again I always was kind of a commie. ;-)

Color me crazy, but I like having a fire department. It's one of those good things in life.

Let the screaming commence.