Friday, July 31, 2009

To Maine NETSA Members

On June 12, 2009, Governor Baldacci signed LD 1495, “An Act To Implement Tax Relief and Tax Reform” into law, which NETSA opposed. While the title of the new law is exciting, the details are dismal and drastically impact Mainers by taxing services, including automotive repairs, maintenance and installations by an unprecedented 5%. Car repairs join a long list of services not previously taxed including repairs on jewelry, cameras, guns, musical instruments, electronic and mechanical equipment, lawn and garden equipment, office equipment and appliances.

In addition, this new tax will be levied on admissions to amusements, theaters, movies, concerts, historical sites (not run by the government), zoos, antique shows, car and boat shows, sight seeing attractions, amusements at fairs and just about anything else that was not previously taxed.

Imagine, in this economy, when so many Maine people are struggling to make ends meet, the legislature decides to tax auto repairs and maintenance! Imagine when Maine tourism is in desperate trouble we are taxing amusements and recreational activities and increasing the meals and lodging tax from 7% to 8.5%!

The politicians will tell you that in the end you will save money because they are lowering the Maine Income Tax from a high of 8.5% to a flat tax of 6.5% with tax credits depending on where your income tax bracket falls. The fact is that most Mainers will see less than a $300 income tax reduction at the end of the year, but will pay additional sales taxes all year long.

Interestingly enough, this new law doesn’t tax boat repairs, nor does it tax ski lift tickets. Somehow that doesn’t seem equitable, now does it?

Luckily there is a signature gathering campaign going throughout Maine to repeal this untimely tax. 56,000 signatures are necessary to put this on the June 2010 ballot. These signatures need to be submitted to the Secretary of State before September 11, 2009.

The initiative is called “Still Fed Up With Taxes”, which NETSA is a member, and you can help support them by sending a contribution ($100 would be great) to the address below.

Still Fed Up With Taxes
PO Box 24
Augusta, Maine 04333

Desperate times call for desperate measures and if the Augusta politicians are not hearing that times are desperate, then the citizens of Maine must act by repealing this tax attack!

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