Vito
–
Working
to create a model to understand the possible impact to residents. It looks like
Propane/Oil & Electric are exempt (wanted you to know before too much info
gets out there). See DRAFT chart below and other notes on this (below the
chart). Trying to get some reasonable estimates assembled to help the model.
Let me know your thoughts on these:
Est. Impacts of the
Repeal of the Sales and Use portion of the Options Tax to
Residents
|
||||
(based
local residents and citizen testimony)
|
||||
Expenses
|
Total
Annual Cost
|
Annual
1% Cost
|
Notes
|
|
Cable
|
1,200.00
|
12.00
|
||
Land
Line Phone
|
700.00
|
7.00
|
||
Cell
Phones
|
720.00
|
7.20
|
||
Other
retail (est)
|
2,200.00
|
22.00
|
supplies,
hardware, outdoor equip, ski txts, etc.
|
|
Propane
/ Heating Oil
|
2,000.00
|
EXEMPT
|
Consumers
don't pay 1% on fuel oil or propane for heating or on electricity, but
Commercial entities do *
|
|
Electric
|
1,800.00
|
EXEMPT
|
||
Total
|
8,620.00
|
48.20
|
||
*
Electric/Heating info: "There are 46 exemptions from the tax (sales and use)
which include medical items, food, manufacturing machinery, equipment and fuel,
residential fuel and electricity, clothing and shoes." (http://www.state.vt.us/tax/majorvttaxessalesanduse.shtml
|
||||
Other
Notes
Consumers don't pay 1% on fuel oil
or propane for heating or on electricity. Only Commercial. It also doesn't
appear that we pay sales tax on Internet Data from Cable/Telephone or Cell
phone. We pay 1% on the rest of the phone or cable service but not on the
Internet access portion.
The info on Electric and Heating
is here:
"There are 46 exemptions from the
tax (sales and use) which include medical items, food, manufacturing machinery,
equipment and fuel, residential fuel and electricity, clothing and
shoes."
and in this
bulletin:
Under General Rules, second
paragraph has "Utility sales subject to state sales tax (electricity used
commercially, cable TV and telecommunications, for example) are subject to Local
Options Sales Tax...."
Seth
Webb
Town
Manager
Town
of Killington
2706
River Road
Killington,
VT 05751
802.422.3241
(office)
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