Originally Posted by Bossman63
Raise the sales tax from 6% to 7 or 8%, then every single person who buys anything will contribute. This 2% service tax will kill the small business in Michigan. Think about it ... Any restuarant will now have to charge a service tax, you need a new battery for that Jeep, AutoZone will now have to charge you a 2% service tax just becuase the guy checks you out at the counter. This Service tax will be applied to any business that pays someone an hourly wage to provide a service for you (ie: waitress, mechanic, bartender, the minimum wage guy at the McDonald's drive thru ...). on paper it looks great for the $$$ it will raise, but how long before everyone turns to the internet, or leave the frick'n state so they can afford to live?
Say what you will about Engler, but the state was in a much better "state" when he was driving his Buick to the Mackinaw Mansion!
I doubt I'll see many autozones dying because they can't afford the service tax. This might kill some mom and pop stores but that was a long time coming if they can't adapt to a 2000 era business plan.
Now as for raising the sales tax I think that would be a great way to generate money. It's 8.5% in IL and 9.5% in Chicago and you don't see people running to IN or IA to do their shopping.
Actually lets do both, implement that service tax and the sales tax and eliminate the deficit.