Taxes and spending: Arkansas leads country in local sales tax rates while state starves services to cater to rich and special interests | Arkansas Blog

Sunday, February 17, 2019

Taxes and spending: Arkansas leads country in local sales tax rates while state starves services to cater to rich and special interests

Posted By on Sun, Feb 17, 2019 at 8:59 AM

click to enlarge screen_shot_2019-02-17_at_8.40.14_am.png

click to enlarge gould.jpg
A reader sends a link to a stunning top 10 compilation by A ranking of local sales tax burdens shows Arkansas cities occupy 12 of the top 17 places on the list, with Gould leading the nation with a combined sales tax rate of 11.5 percent.
The top 20 includes three more cities at 11 percent in addition to those shown in the table excerpted above — Hazen, Des Arc and Keiser. The total rate includes the state's 6.5 percent levy.

click to enlarge screen_shot_2019-02-17_at_8.55.47_am.png
Note that the Delta accounts for many of the high sales tax rates, a generally impoverished area.

Context: The Arkansas legislature just completed action on an estimated $150 million income tax cut that will primarily benefit millionaires. Among those deprived of general revenue produced by that tax — in addition to schools, public safety and health care — are cities and counties, which receive state "turnback" money.

More context: The state is cutting Medicaid coverage for working poor. The state is cutting mental health support for the poor. Schools are regularly getting less than required to maintain sufficient public education. The state has cut support for medical services such as family planning for poor women. The state is squirreling away money to build a corporate welfare treasury. Legislative leaders have worked out a deal with Big Tobacco to put a nominal tax burden on tobacco (and a 50 percent tax increase on medical marijuana) in return for tax breaks and regulatory protection. This is Tobacco's condition for allowing a pittance to be taken to support UAMS research into a disease, cancer, caused by tobacco.

When money is short, what do you do in Arkansas? Raise the sales tax.

See Gov. Asa Hutchinson's plan to make permanent a general sales tax for highways and a new sales tax on motor fuel and a whopping new tax on non-polluting electric cars, hundreds of which don't create the damage of a trucking rig.

Tags: , , , , ,


Comments (10)

Showing 1-10 of 10

Add a comment

Subscribe to this thread:
Showing 1-10 of 10

Add a comment

More by Max Brantley

  • Optometrists win surgery privileges

    Optometrists won a pitched and expensive (judging by lobbyist effort) against ophthalmologists today. The Senate approve Sen. Dave Wallace's HB 1251 to amend state law to allow optometrists to perform certain surgical procedures.
    • Mar 20, 2019
  • Senate approves tobacco tax increase to pay for income tax cut

    Sen. Jim Hendren by a single vote won Senate approval of is proposal to deliver a $100 million income tax cut to lower income people to be financed by an increase in tobacco taxes. The vote was 18-14, with three not voting.
    • Mar 20, 2019
  • Analysis disputes state claim that people who lost Medicaid coverage went to work

    The Center on Budget and Policy Priorities has blown a raspberry at the administration's assertion that many of the thousands who lost Medicaid coverage for failure to comply with the new work rule just might have gone to work.
    • Mar 20, 2019
  • More »

Readers also liked…

  • Sabin's subterfuge in the race for mayor has roots in rigged city government

    The Arkansas Democrat-Gazette reports that an ethics complaint has been filed saying that the exploratory committee Rep. Warwick Sabin created to prepare for a run for Little Rock mayor was a subterfuge to avoid the city ordinance that doesn't allow campaign fundraising to begin until five months before the November 2018 election.Of course it is.
    • Aug 10, 2017
  • Use of solar on the rise in Arkansas

    With a pivotal ruling expected any day now from the Public Service Commission, Kyle Massey at Arkansas Business reports on the increase in Arkansans adding solar generation units on their homes and business.
    • Apr 13, 2018
  • Antwan Phillips wants to make a difference in reducing Little Rock violence

    KARK/Fox 16's push to do something about Little Rock violence includes a spotlight on people trying to make a difference — in this episode Antwan Phillips, a lawyer at Wright, Lindsey and Jennings.
    • Aug 30, 2017


Most Recent Comments


© 2019 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation