Guest Post by Roland Giduz
To: Chapel Hill Town Council
From: Roland Giduz, local citizen
In re: Council's Legislative Agenda
- A luxury tax is the fairest possible of all revenue measures
- A modest percentage or dollar (ex.: $1) tax on a luxury such as high-priced entertainment tickets is an OPTIONAL tax that nobody is required to pay, as they are the taxes on the necessities of life, such as property and sales taxes.
- Similar luxury taxes have been in effect in many municipalities, including some that house public universities for many years.
- Local enabling acts have been considered and enacted (Greensboro) in North Carolina for many years.
- Chapel Hill has several times previously requested this legislation and needs it more now than ever before.
- It will in no way adversely affect high-priced entertainment ticket sales in Chapel Hill. Proof: The price on these tickets is necessarily and understandably increased every few years, and the sale of these tickets is still on a seller's market – more than ever this year.
- This proposed tax, if imposed only on high-priced tickets, (Ex.: $35 up) would not adversely affect sales of scholastic and cultural event tickets (which could be exempted)
- If the revenue were designated for the Chapel Hill Transit System, as it has been in previously legislation, it would relieve the financial obligation on both the University and the Town.
- Opposition to this proposal is based purely on opposition to taxes – understandable but not a valid reason.
- The state has imposed a 3% luxury tax (that goes into the NC General Fund) for more than 60 years, and this modest levy, so well established, does not affect ticket sales in NC vis a vis other states.
- This enabling act has precedent, is consummately fair, and will be enacted if the Council actively supports it.
Roland Giduz is a former member of the Chapel Hill Board of Aldermen and a columnist for the Chapel Hill Herald.
Issues:
Comments
Reason #12: It will make
Reason #12:
It will make people realize what they are buying is a luxury and not a need.
Unfortunately, and please
Unfortunately, and please correct me if I'm wrong, it's the legislature holding us back on this one. Town Council has petitioned them multiple times for permission to hold a luxury tax, and every time, largely because the University opposes it, we are denied. Other towns in NC (i.e. Greensboro) are allowed to impose a luxury tax, why not Chapel Hill?
As a frequent attendant of UNC sporting events, I have no problem with this fee. Even those times I drag my parents out to a game and pay for their tickets, a couple of extra bucks lumped on to reinvest in my community aren't going to kill me. (Though, I can't say I've ever paid more than $35 for tickets.)
Seems like a reasonable
Seems like a reasonable proposal to me to offset some of the expenses associated with these events. As others have pointed out, many towns and cities have done the same thing.
But it's a slippery slope, croatoan, when we justify taxes as a way to "punish" people for buying "luxury" goods. After all, do we really *need* espresso drinks? Internet access? You get the point.
Errr. For some of us
Errr. For some of us espresso and Internet access are essential and non-negotiable requirements for a basic quality life!
I must be wired and wireless!
Speak not of those as luxuries!