Use tax info in March water bill

By JoEllen Black/Richmond News

Richmond city water customers will find a more than a bill in March’s statement.

The city of Richmond has inserted an informational brochure on the use tax, a city ballot measure on the April 2 election.

A local use tax, as its termed, acts as a local sales tax on catalogue and Internet purchases, and vehicles bought out-of-state. Currently, the city doesn’t receive any tax revenues on those types of purchases.

“It’s not an additional tax. It has no effect on local taxes – zero. It’s for goods not currently taxed on out-of-state purchases,” City Administrator Ron Brohammer said. “Our position is not to advocate but to inform people.”

If approved by voters, the use tax would allow Richmond to apply its 2 percent municipal tax on goods, such as computers, TVs and vehicles, that were purchased out of its taxing jurisdiction, but would have been taxable if it had taken place within the city limits. Tax money would be designated to four areas – city general fund, parks, municipal complex and street transportation fund.

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