34 South Main St., Attleboro, MA - Directions - (508) 222-7000
Home News Sports Features classifieds milestones services photos tvlistings cars jobs realestate subscribe
News

Restaurant owners call burden 'unfair'



Sam Kolap readies a tray of food for January Super Bowl patrons at CBS Scene in Foxboro. (Staff file photo by Mike George)




ATTLEBORO - A plan to impose a city meals tax on Attleboro restaurants unfairly burdens one type of business at a time when many eatries are already struggling to survive, city restaurant owners say.

The owners were reacting to a plan by Mayor Kevin Dumas to impose the new tax to raise $515,000 to help the balance the city's budget.

The restaurant owners admitted that a 1 percent local meals tax would not be a huge financial burden on them and their customers, but they wonder why they are being singled out to bail out the city's budget woes.

"It's just not fair. You're taxing a struggling industry. I think they should cut spending instead," said Jason Tyler, owner of Moose Cabin on O'Neil Boulevard.

"It's unfair to the industry because this is a down economic time. People are spending less. They are not eating out as much."
Tyler said he will try to absorb the added cost for a while instead of passing it along to his customers because he does not want to discourage people from dining out.

His response was shared by other restauranteers.

"Why single us out?" said Bill Sarro Jr., owner of Fresh Catch seafood restaurant on Union Street.

Sarro said what really hurts is the city never contacted the restaurants about the tax.

"I don't know how the city of Attleboro can want restaurants to come to the city and then not even contact the restaurant owners on this. It's mindboggling," he said.

Dumas proposed the meals tax as part of plan to plug a $2 million budget gap. The plan includes furloughs for city employees. The alternative, he said, would be to lay off up to 60 city employees.

The authority to impose a local meals tax was included in the Senate version of the state budget. The 1 percent local tax sought by Dumas would be on top of an existing 5 percent state tax.

State Rep. Bill Bowles, D-Attleboro, said he expects the House will go along with the local option tax when a final vote on the state budget is taken.

Bowles, who is also a city councilor, said the added 1 percent would not be an excessive burden.

A $30 restaurant bill would only increase by 30 cents under the plan, he said.
But, Peter Christie, president of the Massachusetts Restaurant Association, said the Senate passed a 2 percent local meals tax option, not the 1 percent Attleboro wants to adopt.

He said Attleboro would not have the authority to impose a 1 percent tax under the current state proposal.

The added meals tax is a bad idea at any rate, he said, because it hits an industry that is trying to survive. He said thousands of restaurant workers have lost their jobs this year and a local meals tax will make matters worse.

"If anyone said we should add a tax to any car sold in Attleboro people would say, 'That's crazy. The auto industry is flat on its back.' So why do it to the restaurant industry?" he said.

Yet not all city restaurant owners are opposed to the additional tax.

William Morin of Morin's Hometown Grille said he understands the city needs the money, and does not believe 1 percent will make much of a difference to his business.

Surrounding communities are not considering adding a meal tax, but Morin said he doubts one of his customers would drive to another town to avoid paying an extra 1 percent.

"One percent is not a huge jump. My checks are low enough that it's not going to make a big difference," he said.

Another restaurant owner who asked that his name not be used because he did not want to be involved in a controversy, said the tax is unfair to restaurants.

"Restaurants are an easy target," he said. "All businesses should pay - not just restaurants. If the city needs the money and it goes to the right places like the schools, fine, but all businesses should pay."

The owner said restaurants in the area have gone out of business during the recession and others are struggling.

Attleboro already has the highest property tax rates for businesses in the area and the extra 1 percent will add to the burden, he said.

 


*Member ID:
*Password:
  Forgot Your Password?
 
View Comments » 10 comment(s) « Hide Comments

mike wrote on Jun 18, 2009 6:05 PM:

" mmarcia - Are you kidding me? Did you just say 25 cents a day? Based on that figure and the proposed 1% meals tax, that would mean you spend $25 a day, everyday! You eat out 365 days a year and spend up to $25 each time??? Sounds to me like you should have no worries about spending an extra $91.25 this coming year. Maybe you should cut down your eating out to every three days and only spend a whopping extra $30.42 a year. "

Anna D wrote on Jun 18, 2009 3:03 PM:

" I will dine out even less now. I predict that boosting the meal tax will generate no net increase in tax revenues. "

jose21 wrote on Jun 18, 2009 2:26 PM:

" I like to look at it the other way, $91.25 is only 25 cents a day! "

mmarcia wrote on Jun 18, 2009 11:48 AM:

" 25 cents a day = $91.25 over the course of a year. "

realist wrote on Jun 18, 2009 10:37 AM:

" I get very tired of politicians who say that the increase will only amount - insert trivial sounding amount here. They hope that people don't sit down and realize how much these trivial amounts come to.
We had a chance to tell politicians what we thought of taxes back in November. But with the slick PR of showing us pictures of nurses and kids in schools and threatening them - most people voted to keep the income tax. That gave the pols the green light to keep increasing taxes. "

kfer2288 wrote on Jun 18, 2009 9:58 AM:

" Ishould-no kiddin!!! You know what gets me? How everyone is trying to close gaps in budgets and this and that...what the heck is wrong here? All I hear about is deficits. So let me get this straigh. Us taxpayers pump the money into the system, our retarded leaders spend it and then some, now the state and our cities and towns are broke. Yet they continue to keep their jobs? Amazing!!!! You know what? Quit trying to tax us more and stop being incompetent, fix the problems yourself, try taking a look at your own budgets! You caused this mess!

I mean lets look at this! Ok so my source of income is from working, so I get paid, and I spend it, and then I spend more then I make. Do I go to my employer and say, yeah you are going to have to pay me more because I was irresponsible with the money I made. No.
To bad the state couldn't be run more like a private industry so all this GARBAGE and all these people can be cleaned out. "

Ishouldbemayor wrote on Jun 18, 2009 9:26 AM:

" Toll booths are a great idea! Put them on the entrances and exits of city hall and make them pay the city back the money they are wasting. "

kevin h. wrote on Jun 18, 2009 7:38 AM:

" CUT SPENDING!!! "

mayst wrote on Jun 18, 2009 5:24 AM:

" I think we should install toll booths on all roads entering Attleboro. Residents would only pay if they left the city so it would help businesses in town. With meal tax, residents are taxed if they support Attleboro eateries. Tax will cause many to eat elsewhere! No it is not the .40 its principle. Oh it would be .80 with city only getting .40 "

macdog wrote on Jun 18, 2009 4:36 AM:

" So instead of 1 , now it's 2.The servers will be the losers here, so Beacon Hill can pay those raises. "