In a time when the city of Boston desperately needs financial stability, Mayor Thomas Menino has proposed turning to the heart of Boston’s population for revenue college students. They will probably bear the brunt of new taxes if a proposal to increase taxes on restaurant and entertainment sales passes. No one wants to pay more in taxes, but Boston desperately needs money, and these reasonable tax hikes are preferable to spending cuts on education or other services.
The proposal would raise the restaurant sales tax from five percent to six percent and tack an additional 50 cents onto tickets for movies, concerts and sports events. While annoying to students looking for cheap entertainment, the proposal is better than increasing property taxes, which would hurt already struggling small businesses, and the taxes could save programs that benefit those residents hardest hit by the recession.
Raising the restaurant tax to six percent could boost city revenue by $17 million, but would only make a $20 meal cost 20 cents more. The new rate would still fall below the national average sales tax rate of 6.25 percent, as many states have much higher sales taxes.
Adding 50 cents to concert and sporting event tickets is unlikely to strain entertainment budgets or lower attendance. However, the movie ticket surcharge will irk people because the prices have already skyrocketed and the proposal would increase them by about five percent. Regardless, entertainment is one of the most desirable sectors to tax because 50 cents probably will not induce many people to change their leisure habits.
These hikes will most likely hit college students’ wallets hardest, but most college students get more out of Boston than they put back into it through taxes. College students escape the burden of property taxes, except for the small minority that own houses. These small tax increases represent a way for college students to help the city’s financial crisis without too much strain on their wallets.
The City Council should approve these reasonable tax hikes, but consider repealing them once the economy improves. Also, Boston must use the money well, putting it back into education and other programs that will benefit the greatest amount of residents. Students should not mind chipping in if it can keep Boston a great college town.