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Published on Friday, February 22, 2013

Reducing the frequency of local sales tax changes

Companion bills that would reduce the frequency of local sales and use tax changes from four times per year to twice per year have been heard in their respective chambers. Initially, both bills limited changes to January 1 and July 1. The Senate version, SB 5697, was amended as it passed out of committee and now specifies changes can be made only on April 1 or October 1. The House version, HB 1604, retains January and July as the two options. We’ve heard concerns from cities about limiting changes to twice per year and are trying, at a minimum, to allow cities to have three times a year when changes can be made.

Categories: Budget & finance