Implementing local option sales tax could be a solution
Twin Falls is the same as Boise, a hub city, which means many people from smaller towns come into the hub city every day to shop, work, and chill, but then go home at the end of the day, hub city uses the roads and other infrastructures in the hub city, And people do not pay the property tax through local option sales tax in the hub city for maintenance.
Twin Falls Mayor Pierce says the population doubles from about 50,000 to 100,000 during the workday, and only 50,000 residents are paying the property taxes for the 100,000 people using the roads and other infrastructure services.
Twin Falls Mayor Pierce and mayors of hub cities around Idaho would love to implement a local option sales tax.
Read Also: New York Property Tax Growth To Be Capped At 2% For 2024, State Comptroller Reports
The idea is that people visiting the hub city pay the local option sales tax and help fund the city maintenance and give property tax relief to resident taxpayers
Twin Falls Mayor Pierce said that the city cannot control who wants to move into the city, and the city wants to be sure that the infrastructure can handle it. But right now, cities cannot do that. Only resort cities do. And it is up to the lawmakers to give cities the ability to put the local option sales tax in front of the people on a ballot and let them decide if they approve of local option sales tax.
The local option sales tax is tricky for these hub cities. Only resort cities in the state can impose a local option sales tax. So, what are the chances of the lawmakers changing that and permitting hub cities like Twin Falls that local option sales tax?
House Speaker Mike Moyle said that it has long been a critic of local option sales tax. Calling local option sales tax taxing nothing over an unneeded sales tax upsurge. And even if the law is amended and they can put a local option sales tax in front of the people through the ballot, Twin Falls Mayor Pierce said it is a hard sell because it is still a tax.
Read Also: Real Estate Property Tax: Check How To Pay Property Taxes In Knox County Here!