If you live in Detroit, your Whopper may soon be costing you more money:
"In an effort to curb a looming $300 million budget deficit, Detroit Mayor Kwame Kilpatrick last month floated what he called a ‘different budget than has ever been presented to our city council.’
"The budget includes a proposed 2 percent tax that would be levied only on sales at fast-food restaurants, among other items that would generate additional revenue for the city."
The NRA is protesting. No, not the gun lobby; the restaurant lobby that goes by the same initials:
"If approved by city voters and the state legislature, Detroit would become the first locale in the nation to impose a tax on fast-food. Consumers already are charged an average nationwide rate of 6 percent on restaurant tax, according to the National Restaurant Association (NRA).
[…]
"’We think these type of restrictive tax penalizes consumers for enjoying their favorite foods,’ said Katherine Kim, spokeswoman for the NRA.
"’In a sense, it’s almost discriminatory,’ she added. ‘It targets just a section of the food services industry. The impression is that it will restrict consumers’ free choice in participating in a lifestyle they enjoy.’"
Oh, please, Ms. Kim. I like fast food as much as the next person, but an extra few cents for a Happy Meal is not going to restrict anyone’s "free choice" or "lifestyle." Granted, I think the proposed tax is ridiculous; but let’s argue the matter on the merits and not cloud the issue with claims of victimization.
let’s argue the matter on the merits and not cloud the issue with claims of victimization
But people have forgotten how to argue the merits! The modern method is to make an appeal to emotion instead.
As a Detroiter facing this looming tax, I say: big deal. So McJunk food will cost a few more worthless pennies. While quite opposed to taxes on groceries, I have no problems with reasonable taxes on eat-out food, whether fast food or restaruant variety.
I completely agree with Ms. Kim. The tax may start out at a small amount, but taxes always get bigger. I have no doubt that when next year’s “budget crisis” comes along, they will want to raise this tax. Fight it now and stop it. Discriminatory taxes are a dangerous idea because they tend to pit special interest groups against each other (fighting to see who pays the most taxes). And keep in mind, everyone is a member of some special interest group.
What one earth is discriminatory here? (Golly, I can’t beleive a card carrying conservative like me is defending a tax!) Taxing KFC but not Hardee’s is discriminatory. Taxing white owned businesses but not black is discriminatory. Taxing all fast food places might be smart or dumb, but for Pete’s sake it’s not disciminatory.
Taxing fast food places, but not sit-down places, is discriminatory. If they want a restaurant tax, they should put one in as covering all ready-to-eat food.
I travel all over the country, and lots of places tax fast food joints. Lots of gvts tax “sit down” restaraunts (whatever exactly those are as distinguishged from fast food businesses). To claim that taxing one but not the other is an example of discrimination is silly. I don’t like taxes (duh) and I know they tend to increase (duh), but credible opposition to taxes means coming up with more logical arguments.
At least the tax is to reduce a large deficit, which could be considered a “good thing” (no, I don’t like taxes).
Indianapolis is imposing a restaurant tax on the counties in central Indiana to build a new football stadium.
Personally, I can see the idea of a “sin tax” making sense in certain circumstances. It’s hard to see any downside to the high cost of cigarettes, for example.
People have to eat, though. What next, a “health” tax? They could have a special line at the revenue office. While you are renewing your license tags they have you step on a scale and you pay based on your weight. That way they would always have an accurate weight prinbted on your driver’s license, too. 😉
Ate in McD’s or BK’s just outside Detroit, in St. Paul MN, and in Omaha NE over the weekend. All three places had sales tax.
It’s hard to see any downside to the high cost of cigarettes, for example.
Organized crime and contraband smuggling. It happened here in Canada on some Indian reservations that border the US border about 10 or so years ago. The gov had to slash all taxes for a while. They’re back up though now I think.
Re: Discrimination
Yes, taxing sit-down vs. fast food differently is discrimination. Discrimination also exists in dividing the sexes for bathroom use. Discrimination also exists when restricting motor vehicle use to licensed drivers. Discrimination is good thing; except when it is bad. 😉