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an effort to create searchable online databases for government expenditures

a tool to highlight the hypocrisy of tax hikers

Constitutional or statutory requirement to rein in growth of revenues end expenditures

a commitment made by elected officials and candidates for elected office never to raise taxes

Raising the bar for tax increases

Requiring a cool-off period for all bills with a fiscal impact

pork-barrel spending - the broken windows of the budget

Tax Bites - Car Rentals

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 60.60%

 

As part of the trend toward exporting a state or local tax burden, car rental taxes are increasingly popular with lawmakers concerned about taxing their voting constituents.  Although studies have shown that more than half of cars are rented by local consumers, the notion that taxing rental cars is taxing tourists is pervasive on the state and local level.  In fact, the number of car rental excise taxes has nearly doubled in the last decade with taxes in 110 localities in 43 states and Washington, D.C.   

Local excise taxes and other charges imposed by states and municipalities have added 26 percent, or $13.70 to the average $52.71 rental car bill.  However, this doesn’t include the full tax burden included in the cost of renting a car.  When taking into account taxes including federal and state income taxes, federal payroll taxes, sales taxes, unemployment insurance taxes, workmen’s compensation taxes, business license taxes and fees, utility taxes, local property taxes, and any local income taxes, the total cost rises to 60.6 percent of the bill.  

All told, whether you are a tourist or a resident, renting that car for $52.71, will cost you $31.94 in taxes and fees.
 

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