June 20, 2013
Senate turns down local sales tax hikes
The Maine Senate has turned down a bill that would have allowed municipalities to increase local sales taxes to boost revenue.
The Sun Journal reported that the measure, which cleared the House Wednesday 101-48, failed in the Senate by a 31-4 margin.
Supporters of the bill said it would provide another tool for municipalities to deal with decreases in revenue sharing expected from the $6.3 billion budget proposal awaiting action from Gov. Paul LePage, but opponents said the bill could harm residents in rural communities who might have to do their shopping in other areas where they would have no control over the sales tax.
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