Saturday, March 28, 2009

Maine Dems favor higher sales tax on mom-and-pops

AUGUSTA, Maine — Democratic leaders in the State House are preparing to debate over tax reform next week. Their plan: shift burden from resident income tax to higher sales tax on mom-and-pops that make-up Maine's struggling tourism industry. Rep. John Piotti, D-Unity, the bill's lead sponsor, wants to increase the meals and lodging taxes from 7 percent to 8.5 percent. collect new sales taxes on amusement park tickets, miniature golf courses, candy purchases, car repairs and more.

While there would result an obvious political bump for the Dems to cut some state income tax, the long-term impact would be detrimental to our way of life. Let's be real, Maine's best chance for any sort of economy over the next 20 years will come from tourism. Our incredible natural resources make Maine the backyard playground of Boston, NY, etc.. Levying over-the-top taxes on visitors (and forcing the mom-and-pops to collect) is sending the wrong message. We need to be attracting more visitors, not pushing them away to other vacation destinations.

Sen. Kevin Raye, a Perry Republican and minority leader in the Senate, sums it up: "...What is the logic of trying to squeeze more tax revenue out of tourists when that industry is widely regarded as critical to Maine’s economic revival?"

Critics also contend that contrary to popular belief, it will be Mainers — not out-of-state tourists — who foot most of the bill for the additional sales taxes.

Here's an idea: Instead of raising more taxes, how about we cut frivolous spending to save money? We could start with MaineCare benefits like Gastric by-pass surgeries (at $25,000 a pop) ...but wait, there's more, much more...
The state's Maine.gov website proudly refers to the
MaineCare Benefits Manual as a "massive document"!

I'm sure we could save several million if we were honest about what Maine could afford. Isn't this better than targeting the one industry in which Maine has the advantage?

2 comments:

gymrat said...

No doubt a gastric bypass can be a lifesaver, but way too often only temporary. The weight is often regained, occasionally with extra pounds.

If Maine Care is willing to fund this expensive surgery, why is it almost impossible for a Maine Care recipient to receive funding for an exercise program or healthy living education? It seems to me that funding lifestyle changes would more often lead to a successful weight loss.
Also, the one who is getting in shape is also acquiring knowledge and skills that will help them keep the weight off, gain self esteem, and hopefully pass on these skills to family members.

Education is what it is all about! Remember the old adage that "if you give a starving person a fish, he/she will eat for a day, but if you teach him/her how to fish, they will never go hungry." Let's teach our citizens how to take care of themselves and fund that education.

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