Reallocating City Sales Tax Revenue?

[TulsaSooner]

I can't think of a worse idea but apparently at least one person in the Legislature thinks it could be a valid idea.

http://www.tulsaworld.com/opinion/article.aspx?subjectID=61&articleID=071027_7_G1_hShou68883

You think services suffered when the City went through recent budget crises, see what would happen if you removed $16 million from it.  

Dumb.

[YoungTulsan]

Oh hell no.  The Tecumseh Seminole comparison is an extreme one, and I'm suprised I never heard of this problem before, but you can't just across the board pass some silly law that takes money people spend outside of their city and sends it back.  People who come to Tulsa to shop use our infrastructure.  People who abandon their own hometown to shop elsewhere make the decision to not spend money on supporting their own community.

That Tecumseh Seminole comparison also leaves out the fact that Tecumseh is much closer to Shawnee, a town of almost 30,000 which dwarfs both other towns, is right next to Tecumseh, and most likely provides them with the majority of their shopping needs.

The rural Wal-mart thing might be a reason for counties like Pottawatomie to use a county sales tax to provide services if it proves a feasible solution to dramatic disparity.  That redistribution makes no sense for Tulsa or OKC, so hopefully the chances would be slim of such law passing.

[Ed W]

Correct me if I'm wrong - but don't we pay sales tax on our electric bills that go directly to Oolagah because the PSO generating facility is located there?

I couldn't find an electric bill to check.  My wife's filing system is...let's be kind and simply call it chaotic.

[Conan71]

Tulsa is already a donor city.  We are also a commerce hub which means people from other communities contribute to wear and tear on our roads.  Hell no Tulsa doesn't need to cede any more sales tax to other authorities.

[sgrizzle]

quote:Originally posted by Ed W

Correct me if I'm wrong - but don't we pay sales tax on our electric bills that go directly to Oolagah because the PSO generating facility is located there?

I couldn't find an electric bill to check.  My wife's filing system is...let's be kind and simply call it chaotic.

You pay PSO
PSO makes electricity in Oologah
Oologah plant pays taxes

So indirectly yes, but not directly.

[Chicken Little]

The irony here is that the state legislature, with a $200 million+ annual surplus, somehow can't think of any other way to help struggling cities than to steal from other struggling cities.  If they were broke, that'd be one thing, but they're not.

[shadows]

It becomes very difficult for the average voter to understand the purpose of the equal protection clause in the amendments of the original constitution as what was the purpose of the founding fathers.   Sales taxes were not an item they were trying to deal with as there was no equal distribution of its disbursement among those who pay without any voice from the rural areas on its enactment.

The first cry is the rural area and suburbs use our infrastructure when they purchase items in the cities.   What part of the rural or of the suburbs do not provide Tulsan's infrastructure when they leave the city?  The state provides infrastructure in highways and law enforcement the sane as the cities which are provided with a sales tax covering the entire state population.   The road tax on gasoline is collected by the state and redistributed equally by the census head count to every city, suburb and county.  Equal protection should be provided to all citizens of the state who pay the tax for the infrastructure in the community they live in.  They are still considered citizens first of the US, the state and of the community of which they live,

The state should increase the sales taxes to 7.5% and repeal the enacting of the cities sales taxing authority and re-distribute, by head count to local governing bodies like the road tax is done,   The county should operate on property taxes and bond issues voted on by the people.

The cry cities would have to lay off police and firemen is no more that the cry wolf over and over.   They could use the advise of  some of the surveys that cost thousands gathering dust on the back shelves recommending they get rid of some of the dead weight that hangs as a mill stone around the necks of Social Security precipitants and the working poor that choose to live outside the city..

There seems to be some legislators who see the clouds of the mortal storm on the horizon and consider it in a intelligent way..          

[TulsaSooner]

I don't see how you can take away sales tax revenue that is voted on by the people of the communities in which it is assessed and redistribute it elsewhere.

[RecycleMichael]

quote:Originally posted by shadows

The state should increase the sales taxes to 7.5% and repeal the enacting of the cities sales taxing authority and re-distribute...

Again, why the bad attitude to city government?

I more certainly trust the collection and oversight of my taxes to local officials over state officials.

[shadows]

The instant assumption is that those who live in the burbs did not vote to pay sales tax to another city.   They are taxed without representation of how the tax is spent.   It is likening imposing property tax on residents of Arkansas because Oklahoma needs it for infrastructure in case they cross the state lines.   It is the age old cry of "taxation without representation"  

Under states rights it is prohibited from taxing residents of another state; the same should be applied to residents of cities,

[shadows]

Recycle:  In case no one has informed you the State collects all the sales taxes (100%) and rebated 97% of the city's share..   The city has no authority to collect the sales taxes.  

[RecycleMichael]

Yes. I know this.

I actually have a business license that collects sales tax and remits it to the state.

You spoke of the taxing "authority"...I should have used that language in my response.

[Conan71]

quote:Originally posted by shadows

The instant assumption is that those who live in the burbs did not vote to pay sales tax to another city.   They are taxed without representation of how the tax is spent.   It is likening imposing property tax on residents of Arkansas because Oklahoma needs it for infrastructure in case they cross the state lines.   It is the age old cry of "taxation without representation"  

Under states rights it is prohibited from taxing residents of another state; the same should be applied to residents of cities,

Shadows, I'm not quite certain if I'm understanding your rant correctly, but here it goes:

You don't get a waiver on sales tax if you go shopping in Kansas City, Dallas, Springdale, or Broken Arrow.  Why should you and why would you want to waive that ability for a local government?

As it is now, the state already collects all the sales tax in Tulsa and keeps over 1/2 of the sales collected for re-distribution where they see fit.  Most all that 4.5 cents goes elsewhere as it is.  Why on earth would we want to cede another 3 cents to the state for more of that money to be moved outside our community at OTC and the legislatures discretion?

That makes absolutely zero sense.

[shadows]

There is a possibility that as much as 85% of merchandise purchased out of state is subject to a use tax.  Now the tax hounds could follow the UPS around and collect the taxes due on the merchandise as it is delivered.

We have reached the point where we have so many taxing authorities and each one wants to protect their territory, making it where there is a need to consolidate the authorities and pursue the budgeting process that was the intent of the founding fathers.

Recycle I collected and remitted the sales taxes even before it had to be sent in twice a month.