On Tuesday, Milwaukee’s Common Council is likely to vote on a 2% sales tax as part of an effort to avert significant cuts to city services.
The income would be used mostly for public safety and pension obligations. If the sales tax is approved by the council, it may alter how individuals spend their money on large purchases.
Refrigerators and stoves are already expensive kitchen appliances.
“I imagine it could make me try to retain them a bit longer, repair them if I have to avoid at 2%,” Milwaukee resident Daniel Caveney explained.
“I don’t want to go too far because that will cost me more money.” It will save me the expense of buying an appliance here in Milwaukee,” said Willie McDuffie, a Milwaukee resident.
Grand Appliance and TV in Wauwatosa charges tax depending on the destination of the goods. Residents of Milwaukee pay Milwaukee taxes.
“I don’t think we’ll notice much of a difference in customer behavior,” saleswoman Taryn Fanning said.
Fanning does not expect to see an important change in Milwaukee consumers.
“They might wait until it’s entirely gone instead of on its way out just to save a little bit more,” Fanning added.
If an item from here is shipped to Milwaukee once the sales tax is passed, the price difference on a $1,000 fridge, including state and county taxes, would be around $15. This excludes a possible 0.4 percent increase that Milwaukee County supervisors are anticipated to vote on.
Fanning indicated that the high-end items in the $10,000 and up bracket will experience the most growth.
“That will undoubtedly play a role, but if you’re going to spend that much money anyway, how much does it really matter?” “That’s a more personal question for the consumer,” Fanning explained.
On Tuesday’s agenda, item 75 is the sales tax. For it to pass, 10 of the 15 members of the Common Council must vote in favor.