Greenwood Republicans Propose Raising the Local Food and Beverage Tax

When you have suburban Republicans who continually propose tax increases, more borrowing and more spending, why is there a need for a Democratic Party in those communities?  While it is usually the northside surburban mayors acting like fiscally irresponsible Democrats, today our attention turns to the 'burb directly south of Indianapolis...Greenwood.  The Star reports:

Mark Myers, Greenwood Mayor

State lawmakers will consider a new measure that lets Greenwood levy a 1 percent tax on restaurants.

Rep. John Price, R-Greenwood, is sponsoring a bill that gives Greenwood’s council the authority to levy a food and beverage tax, which could bring in about $700,000 a year.

Mayor Mark Myers said the city needs the tax to help make up for about $3.4 million in revenue lost after lawmakers imposed tax caps in 2008.

“We have lost $850,000 a year out of our budget,” Myers said. “It really cuts into our public safety.”

The same bill was introduced in the Statehouse last year, but failed to make it past a committee. If it wins approval this time, Greenwood council members would have to vote to impose the tax.

Under the measure, Greenwood diners and bar patrons would be taxed at a rate of 9 percent, which includes the state’s 7 percent sales tax and the 1 percent food and beverage tax levied by Johnson County.

I haven't looked at Greenwood's budget, but the claims that local entities have less money now because of property tax caps is usually as bogus as a $3 bill.  And let's not forget that part of property tax reform was an increase in the state sales tax from 6% to 7%.  We are not paying less taxes than we were before the 2008 reform.