Legislative Watch 
LEGISLATIVE
Font Resize
 |
|
5/24/06-A gubernatorial hopeful in Michigan has said the general sales tax on fuel purchases in the state should be capped.
Republican candidate Dick DeVos also suggested suspending the 6 percent tax altogether.
A suspension of the 6 percent sales tax would cost the state $285 million a year. How a tax break or suspension would affect the IFTA requirements is uncertain.
Gov. Jennifer Granholm, however, said it is a bad idea.
“You can’t just eliminate the sales tax,” the Democratic governor told WZZM-TV. She said most of that money is earmarked for education and emergency personnel.
Granholm instead is calling for oil company profits to be taxed.
“The President needs to push through a cap on these outrageous oil profits,” Granholm said.
DeVos said capping profits would hurt investors and oil company stockholders.
