Tim Bonham  wrote

> Sales taxes go to the State, not the City.

Actually the City levies several sales taxes.  There is a half cent
city-wide sales tax, a 3% downtown food and a 3% downtown liquor tax, a
lodging tax which I believe is at 2% and a 3% entertainment tax.  All except
the entertainment tax go to the Convention Center costs in theory although
the reality is that a chunk of it has been bled off to prop up the general
fund when property tax revenues have declined.

Vicky Heller wrote:
> >. . .The attitude that Sean reflects is costing Minneapolis a lot of
> >money.  Not
> >only do big boxes pay hefty property taxes, but they also generate lots
of
> >sales taxes for the City.

It is true that these retailers do pay property taxes although the amount
that they pay has dropped quite dramatically over the last five years due to
the legislature.  This shift is part of the reason why property taxes for
the average individual have been going up.  And although they do pay sales
taxes, a retailer like Best Buy would be a drop in the bucket when you look
at other companies in the city.  There is a fairly small number of
businesses that pay the majority of the sales taxes.

Carol Becker
Longfellow


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