Shoppers Debate Potential New Local Sales Tax

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Shoppers Debate Potential New Local Sales Tax

By Mark Geary, Reporter

By Mark Geary

CEDAR RAPIDS – Cedar Rapids' city council is considering adding a two percent sales tax to help pay for flood repairs.

Some council members want state lawmakers to allow them to push the tax through quickly without voter approval. That's because it could generate millions of dollars for the community in just one year.

It's the season of giving and some generous shoppers said they wouldn't mind paying a little extra at the register to help flood victims rebuild their lives.

"I think it's a really good opportunity for everybody to continue to pitch in and help out. Plus, all the money stays local,” shopper Patrick Morrissey said.

Other shoppers fear a new tax might backfire on the city.

“I think we need to do everything we can to help people affected by the flood, but I think by raising taxes, it's just going to make people go to other communities to shop,” shopper Brandy Rissi said.

During tough economic times, everyone's watching their wallet. But, many still think flood relief is worthy cause...as long as the money goes directly into the pockets of those who need it.

"If it doesn't get into their hands at the end, then they will have also paid that extra two percent sales tax and they can't afford to pay any more,” shopper Lynette McDowell said.

Most consumers expect to spend a little extra cash at the mall around the holidays. At this point though, no one knows how many people would be willing to shell out more money year round.

Cedar Rapids' city council will discuss the idea of creating a new local option sales tax at next week's meeting.

Wednesday night, six of the seven members at the meeting said they're in favor of discussing this idea more.

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