Posted by: Todd Long | August 5, 2008

Mooresville Gross Receipts Tax

Tonight the Mooresville Town Commissioners ruled on the proposed Gross Receipts Tax to fund a Traffic Task Force.  This tax would take effect April 30 2009.  It would include a .60c per thousand tax, capped at $5000, for some businesses. This mean small business will be taxed the same as big box stores however big boxes will have a higher income of gross receipts to pay the tax.  This doesn’t seem to be fair to me.
Downtown businesses, for some reason, are exempt.  By the way, Mayor Bill Thunberg is an owner of a downtown business.   Also exempt would be non profit organizations and a few others such as Real Estate Agents who already pay a NC state privilege license. 
This tax doesn’t make any sense.  Why would you tax businesses that produce a high tax return to the city versus property tax revenue?  It forced to do so these businesses could and would move outside of the city limits to avoid such a task.  Also, business looking to locate in this area would be smart to locate outside of the city but their employees could live in the city limits and use the roads and other town resources.  Let’s say a company say the size of Lowes Corporate were to locate in the county of Iredell and the hundreds of employees buy home in the city limits of Mooresville.  The effect of the tax has been unequivocally nullified.  Now those residents use the roads without additional tax money to fund the Traffic Task Force for which such a tax was intended. 

I am glad to say the Mooresville Town Commissioners have made a smart decision to not move forward with the Gross Receipts Tax. 

Advertisements

Responses

  1. Hi! I was surfing and found your blog post… nice! I love your blog. 🙂 Cheers! Sandra. R.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Categories

%d bloggers like this: