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Tax on a Fee? Thank Bill Ritter, Diane Primavera and Colorado Democrats

by | 8:59 am, January 20, 2010 | Comments Off

Thanks to the Democrats in the state legislature, a new tire-waste disposal fee isn’t good enough: You’re also getting taxed on the fee! Yes, that’s right. Check out the new report created by my Independence Institute colleague Todd Shepherd:

Imagine paying for your new car tags, and the person behind the counter also assesses a sales tax on your total tag price. Or imagine paying a government toll on a highway, and sales tax is assessed to the toll as well.

It may sound far-fetched, but when you purchase new tires, it’s happening.

Consumers in Colorado pay a $1.50 per-tire disposal fee every time they buy new tires and dispose of the old tires. But according to an “FYI” memo distributed and published by the state department of revenue, “Effective August 5, 2009, the waste tire recycling development fee is considered part of the purchase price and is subject to sales tax.”

“This is the best scam since Bernie Madoff,” said Independence Institute President Jon Caldara. “Whatever lingo the state is using, all it really means is you’re taxing taxes, and so we’re now in the bizzaro world of double-taxation.”

The report goes on to point out that the legislation enabling this double-taxation was sponsored by Broomfield Democrat state representative Diane Primavera, an occupant of one of the most vulnerable state house seats in 2010.

So what to do?

  • Contact your state representative and senator to complain about the tax on the tire-disposal fee (don’t know which district you live in? Find out here)
  • Find a way to show your support to reformer and strong fiscal conservative Don Beezley, who has stepped up to challenge Primavera

Or you can sit back, do nothing, leave the Democrats in charge, and wake up someday wondering how we’re paying a tax on the double-taxation….

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Category: Colorado Politics, Liberty, PPC
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