South Dakota: Group says repeal of state sales tax for groceries could lead to income tax – IOTW Report

South Dakota: Group says repeal of state sales tax for groceries could lead to income tax

(The Center Square) – A group of business organizations and politicians say the passage of an initiated referendum removing South Dakota’s sales tax on consumable goods could lead to a state income tax.

Secretary of State Monae Johnson certified the ballot question in May, which would allow voters to decide in November whether to remove the tax.

South Dakotans Against A State Income Tax includes Sioux Falls Mayor Paul TenHaken, South Dakota Retailers Association Executive Director Nathan Sanderson and Rapid City businesswoman Erin Krueger. They said Tuesday that removing the tax would remove $176 million from state coffers and more from local governments. more

8 Comments on South Dakota: Group says repeal of state sales tax for groceries could lead to income tax

  1. Can anyone show me any time in modern U.S. history when a tax cut resulted in lower govt spending?

    And that spending is only possible with the power to tax. So, can anyone show me any time in modern U.S. history when govt has relinquished (or had taken from it) power when it hasn’t continued in some other way to exert force to the same effect?

    It’s the POWER, stupid! And it sure looks like we’re past the point of no return if we’re restricted to “working within the system.”

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  2. This is one area I have a somewhat liberal view. Sales taxes affect the poor disproportionatly because it is a flat tax – someone making $30k a year pays the same percentage of sales tax as someone making $300k a year. Food is also a necessary requirement, so when it comes to eliminating sales tax on groceries, I am generally in favor of that because it does provide some financial relief for poor folk. However, sales tax on discretionary items should still remain; the poor do not need a new pair of Air Jordans every six months and neither do I, so a sales tax on that item is appropriate. Multiple states, including Illinois, do not impose a state sales tax on grocery items.

    I am actually a proponent of everyone, including the poor, paying some level of tax, including income tax, so that everyone has skin in the game. I also agree with the comments above regarding government spending which is generally wasteful at least in some part at every level and can be reduced. And I also understand that many people have bad spending habits like spending too much time in the potato chip and cookie aisles instead of the produce aisle. But on balance, I generally favor eliminating the sales tax on groceries.

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  3. HTF did we ever manage to survive without the government taxing fucking everything? I say eliminate most of government and you’re not going to need the taxes. Name me 1 GD thing that’s not taxed? It ridiculous.

    WA is the perfect example, good God the bureaucracy in this state is unbelievable. Is all of this necessary? 10s of 1,000s of government jobs, $70B budget!! With billions to reduce carbon emissions, more for “education”(ha! now pull this one) and end homelessness. Just fucking shoot me.

    Fuck sales tax, fuck property tax, fuck income tax. I’m sick to death of all of it.

    And unbelievably, WA is one of a few states with no income tax. Boy did Inslee ever try to get around that but I guarantee you, Bob Ferguson who is looking like Inslee’s replacement, will get some sort of state income tax passed.

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