Chamber Opposes Excise Taxes That Hurt Local Economies

September 20, 2017

The Michigan Chamber of Commerce issued the following statement in response to legislation introduced today in both the State House and Senate that would preempt local governments from imposing a tax on food and beverages. 

“Across the country we have seen revenue-hungry local governments enact local taxes on products they determine consumers should not purchase,” said Michigan Chamber President & CEO Rich Studley. “These types of excise taxes result in the creation of a nanny state where government decides they are in a better position to make choices for people than the people themselves.” 

“Michigan’s food retail industry directly supports 198,000 jobs and an additional 75,000 jobs in other industries, representing 5% of the state’s overall employment and a total of $9.3 billion in employee compensation,” noted Dan Papineau, Director of Tax Policy for the Michigan Chamber. “By imposing a patchwork of locally-specific taxes, local governments will add administrative burdens on businesses within their borders, make businesses uncompetitive with neighboring towns, and increase the price of grocery items for consumers.”

“The Michigan Chamber supports House Bill 4999 and Senate Bill 583 to fight local government intrusion in Michigan’s local economies,” added Papineau. “We urge swift passage of this important legislation.”