Impact of proposed tax hike leaves residents uneasy - WAFF-TV: News, Weather and Sports for Huntsville, AL

Impact of proposed tax hike leaves residents uneasy

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A 1% sales tax increase would have a varied impact on your spending. A 1% sales tax increase would have a varied impact on your spending.
HUNTSVILLE, AL (WAFF) -

How would the proposed one-cent sales tax hike in the City of Huntsville affect your daily life?

Everyone we spoke to about the issue agrees that the city's roads need improving, but they don't like the idea of having to foot the bill.

We wanted to know just how much of a difference the possible hike could make.

A one-percent tax increase, which equals the one cent proposal, would add four cents to the price of a $3.50 gallon of milk, 75 cents to a $75 dollar restaurant bill, and $3.99 to a $399 tablet.

Although it is a one cent increase, the folks we spoke with said those pennies add up, especially for lower income families.

"The sales tax in Huntsville is already eight percent, and that's already somewhat high when you look at other nearby cities, so that's going to be a big increase and I would definitely not be excited about that," said resident Amy Castor.

"I don't think it's fair to us and I am sure we can come up with another creative way to raise the money to fix the roads. I am in agreement that the roads need to be fixed… but nine percent?" added Sara Humphrey.

The proposed increase was introduced at Thursday night's city council meeting and council members are expected to vote on the issue in two weeks. If the council approves the proposal, the tax increase would go into effect March 1, 2014.

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