Deseret News | Huntsman ready to revisit sales tax on services

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Huntsman ready to revisit sales tax on services

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JDW | 10:12 a.m. Jan. 13, 2009

In the first election, I voted for Gov. Huntsman as an apparent astute businessman. Since then it has been demonstrated that the business skills relating to the Huntsman Corporation belong to HIS FATHER and his staff.

I see a liberal slant to his ideas and concepts that I can not support. I will not vote for him again. In fact, I will actively oppose this concept of taxing services in every way that I can.

can't take much more | 10:48 a.m. Jan. 13, 2009

Tax cuts stimulate the economy, not tax increases...this just stops consumer spending. HELLO, watched the news lately? Instead of raising taxes, how about we (read:government) reduce spending in areas that are pork-filled and useless? Look harder, I'm sure you can find a few.

Valerie Kay | 10:48 a.m. Jan. 13, 2009

The practice of Taxing services - in the end - would not be a benefit to anybody in our communities. I am all for raising taxes on the "death sticks" people insist on inhaling and running up health costs. Not to mention the many breaks they require at work during the day.

Comments continue below

Anonymous | 10:58 a.m. Jan. 13, 2009

Thats rediculous! we alredy pay a higher tax percentage then others. Don't make it harder for those of us who don't want to work for others rather than providing a service ourselves that we love to do. it's like you don't want people to run there own business. we need to keep these taxes as they are because se need these businesses
Candace/realtor

Grandmother/Realtor | 11:16 a.m. Jan. 13, 2009

As our jobs and businesses are struggling now, it's not logical to tax services unless the goal would be to add to the unemployment rate. The end result would just push us further into this ridiculous mess where greed and selfishness were the driving force. This tax would absolutely hurt everyone. I am frightened enough on a daily basis, I have no doubt this tax would be devastating. The service tax is not the answer toward solving any problem but assuredly will contribute to those we are already in the midst of. (IN OPPOSITION OF THE SERVICE TAX)

S.M.B | 11:28 a.m. Jan. 13, 2009

Isn't the housing industry suffering enough? If we add a sales tax on services which would include realtors, appraisers, home inspectors, etc. it will only hurt our economy and our citizens. Sometimes I wonder if our politicians have lost all connection with reality. I honestly wonder how they can live in such a different world than the rest of us.

Vicki | 11:44 a.m. Jan. 13, 2009

Where is it going to end! 100 years ago this great nation did not tax it's peopel to death and tax them on everything under the sun and it was the most prosperous nation, with the highest number of middle class and moms got to stay home with their children. Now we, the 'middle class' are the ones paying the taxes for all the rest and the politicians are the oly ones getting rich!! Let's tax the politicians on their services...oh that's right. They don't provide any services!!!!!

Joe | 11:46 a.m. Jan. 13, 2009

Tax tax tax tax tax.

How would it be if every time I ran out of money I could just take some from everyone else. I'd never stop either. There's so many things to buy!!

You know why we can't afford to make our house payments, buy our own health insurance, etc.? Because we're taxed to death. Do you think that all the taxes added together have reached 50% yet?

Anonymous | 11:49 a.m. Jan. 13, 2009

Taxing is not the solution. This would hurt an industry that is already struggleing. I is already hard enough trying to sell services in this economy, don't kick us when we're already down!

REALTOR | 11:50 a.m. Jan. 13, 2009

As mentioned before, a sales tax on the service industry would be devastating on an already weak housing market and economy. The increased costs would be passed on to home owners who are already struggling to sell their home in this down market, and would make it that much more expensive for Buyers to purchase a home. A recession is not the time to raise or implement new taxes, it will slow the economy and deepen the recesion.

Joyce | 11:54 a.m. Jan. 13, 2009

Instead of raising taxes on services, how about lower government spending.

realtor | 12:02 p.m. Jan. 13, 2009

Taxing services would add to already stressfull and expensive process of buying or selling a home. Prices will go even higher because of the increase in appraisals, inspections, title searches and all other services that have to do with the buying/selling process. Should only the very rich have a house?

Plausible | 12:18 p.m. Jan. 13, 2009

I thank the Governor and staff for the equiitable representation they seek. While it is entirely true that it takes the peoples money to run this great state and country, and true that taxes generate funds for government spending, what may not be fully understood is the inability to measure the economic strain imposed by untimely taxation. As an alternative, perhaps each of us, in our own station, can ask "what can I do to cut my reliance on government spending".

Anonymous | 12:28 p.m. Jan. 13, 2009

Taxing services would be a mistake. All the increases would just fall upon the consumer's soldiers and discourage them from using whatever service they were going to use. The last thing we want to do is add more worries and expenses on the people when many are already down.

Tom | 12:26 p.m. Jan. 13, 2009

Taxing services is the most ill-conceived tax idea since income tax. Can you imagine how this would raise the cost of practically everything, especially the cost of housing. The entire housing sector is struggling and to add another tax on all the services that go into buying a home is like adding salt to the wound. The answer is to cut costs and leave sales tax on food because everybody has to eat but not everybody has to buy a home or use professional services.

BW - REALTOR | 12:54 p.m. Jan. 13, 2009

A sales tax on services would SERIOUSLY hurt an already weak declining housing market as well as homeownership in general. The services used in buying and selling homes would be taxed along with each of the myriad of services used to build the home. With all of the extra costs involved, many consumers would be deterred from home buying, moving or using a professional.

B G | 1:16 p.m. Jan. 13, 2009

Where does the definition of professional services begin and end?
I would think the job of "SERVING" AS GOVERNOR for the State of Utah would be considered a professional service!
Serving state legislators should think twice about supporting this...they are providing a service for me so I don't have to be up there to vote.
The reason every job exists is because it provides a "service" to the person who uses or buys it!!!! Huntsman Chemicals does a big service for McDonalds making Big Mac boxes, which helps Mc Donalds sell Big Macs. This tax should effect every job. Govt. should really learn to live on less.

Realtor in UT County | 2:40 p.m. Jan. 13, 2009

Utah is one of 11 states left without a service tax/professional tax. The UAR(Utah Assoc of Realtors)have fought this fight on the Hill before and we will do it again! NO sales/professional taxes on homes!

Janet | 2:55 p.m. Jan. 13, 2009

You are kidding...........right?

TJ | 3:00 p.m. Jan. 13, 2009

Taxing Services would negatively affect all aspects of our economy- goods would go up in price in order to reflect the increased cost the tax would place on the services required to produce those goods- taxing services is an ill-conceived plan, whether our economy is strong OR weak!

Andy Stetz | 3:18 p.m. Jan. 13, 2009

Typical of a republican run administration. Spend money until you run out, add more taxes to put entrepenuers out of business but claim you are doing the opposite. Convince the consumer that he will be better off when there are less providers offering the services he desires but he can still purchase the same services for more money.Has anyone ran the numbers to see how much Real Estate comissions will have to be raised to compensate for these taxes? I really am tired of gov't i.e. local, state, federal trying to convince me this is for my own good. This reminds me of when I neutered my dog,"telling him its going to hurt a little but its really for your own good!" Also, usually the way to pass something like this is to tag it onto a bill raisng taxes on cigarettes and alcohol.That way the public only sees this issue and not what is hidden behind it.

Ryan | 3:34 p.m. Jan. 13, 2009

I think a sales tax on services would not be a stimulas to the Utah economy, but another wall to the end consumer for home ownership.

Kevin | 4:15 p.m. Jan. 13, 2009

Taxing of Services will get passed on to the consumer in the form of higher prices. It may not seem like much but in the case of the transfer of Real Estate it will severly impact the cost of Buying or Selling a home. Real Estate is a huge part of the overall economy and is the foundation for the entire ecomomy as homeowners buy the goods and services that drive our economic engine. Raising taxes on single most important key in ending the current recession is the most foolish thing Governor Huntsman could consider. Tax stimulus and policy whic incease affordability and homeownership will increase revenues from all sectors of the enconomy. Don't raise taxes on this segment of the economy and make the American Dream of homeownership more difficult to attain.

Jeanne B | 5:04 p.m. Jan. 13, 2009

Please! Please! PLease! NO SERVICE TAX!!!! This would put a extra burden on the housing market which fuels the economy. Let us all pay some food tax and increase the cigaret taxes rather than tax services.

jody | 5:25 p.m. Jan. 13, 2009

I think it would be a terrible blow to the housing economy if taxes were imposed on services. Can you imagine the price builders would have to charge new buyers if they had to add additional taxes for all of the services provided in building a house? That would impose taxes from the plumbers, electricians, sheetrockers, framers, etc. etc. and not to mention the appraiser, lenders, title companies and more. It would add an endless amount of cost to the buyer. This is absolutely ridiculous!

Ida | 6:41 p.m. Jan. 13, 2009

Govenor Huntsman: Do not tax services! Everyone will suffer.

Page | 7:02 p.m. Jan. 13, 2009

You must be writing from a very dark place. What are you thinking.

Ginger Davenport TFG | 7:22 p.m. Jan. 13, 2009

I am so disappointed to hear about taxes on legal services....we are already taxed to death....even our social security incomes are taxed....double taxation there! When will it stop....when you get all our money and we are left with nothing???

Utah is fast losing its appeal as a good place to live, due to the excessive taxation in our state. Something needs to be done to alleviate the middle class from having the brunt of the burden of all the large families in this state, who usually wind up not paying any taxes at all! Very unfair!!

Eric | 7:24 p.m. Jan. 13, 2009

Service tax--that's how Michigan's Governor tried to solve her tax shortfall. 9% unemployment now-- Michigan is worst in the Nation. What a great idea . . . Want a better one--cut some government workers and lower taxes!!

Lanis Duke, Realtor | 8:06 p.m. Jan. 13, 2009

This tax would only hurt the professionals that make our economy grow,not to mention the litigation that would take place without professional services, like one attorney said we would end up passing those costs along. I think our goverment needs to learn to cut back in hard times like the rest of us. This should not even be a consideration!

Anonymous | 8:37 p.m. Jan. 13, 2009

I hope the legislature thinks about the fact that taxing services will just make them more costly to the person receiving the service. The tax will be pushed along to the consumer as always.

I for one will not vote for any person who stands behind this kind of income tax increase. Which is what it really is; (a hidden tax on incomes of those who for the most part are self employed).

Marc Coulam, REALTOR

Debra H | 8:46 p.m. Jan. 13, 2009

That's why I couldn't vote for Huntsman! My first clue was when he announced he was "looking into" why gas prices were so high. He never got back to us on that one. He is completely out of touch. These kinds of taxes on services will drive more businesses into the ground, more job losses and more costs passed on to the consumer. Why doesn't he try a state windfall profits tax on the oil companies that are gouging the people of Utah.

Practical | 11:05 p.m. Jan. 13, 2009

All governments claim they exist to assist the citizens. Where is the sense in RAISING TAXES in economically challenging times on certain segments of those citizens? If the government was going to raise taxes, shouldn't it be applied uniformly? It would seem most practical to decrease services that government budgets are not capable of providing, just like normal citizens have to cut back on what they would like to do.

Ben Skonnard, Realtor | 12:05 a.m. Jan. 14, 2009

What a short sighted idea! Taxing services would add costs to the consumer in so many ways. It would increase the cost of housing since the serrvice tax on Realtor fees, title services, appraisal fees, mortgage fees, etc. would be added to the cost of housing. Not to mention taxes on accountants, medical services, legal fees would all be passed on to the consumer. When we're trying to recover from this recession, the Governor should not be looking at additional taxes, but rather, he should be targeting state programs and budgets that could be cut.

VFWDude | 5:27 a.m. Jan. 14, 2009

Taxation of services raises costs of all services. Just as corporate taxes raise cost on all goods produced, etc. A flat tax is where we started with this mess in 1913, 2% on the richest 1% with a 14 page code...seems the flat tax doesn't work either. The only form of taxation that has any equitability is a form of consumption tax (See Hamilton's excellent discourse on why in Federalist 21) yet one must accept it as a whole (food included) or it becomes the political ball we see these representatives play with. The other option is to significantly reduce govt. services...a move to privatization rather than socialization. Is that a pill UT is ready for? In my 6 years in the state I fear not, this is one of the least conservative places I've lived and equitable, real solutions are too often ignored, no political ball to play with I suppose.

Stacy Sommers, Provo | 8:53 a.m. Jan. 14, 2009

Now is not the time to raise taxes of any kind, a service tax would slow down any kind of real estate recovery in our state, potential buyers are already so afraid of buying even with the extremely low rates and incentives, we don't need anything that would slow down the real estate market.

Michael Gregory Realtor | 9:03 a.m. Jan. 14, 2009

Its already taxed. It's call income tax. Do we need a tea party?

Ron Wood - Realtor | 9:29 a.m. Jan. 14, 2009

A tax on services would be devasting to the housing industry. In a time when we are struggling to stay afloat in the industry this tax would eliminate even more Real Estate related jobs.

Sheri Mercado, Realtor | 10:36 a.m. Jan. 14, 2009

In my opinion tax on services is simply a bad idea. With the housing market already in crisis, adding tax to all of the services involved, would just drive prices so high it would make it even more difficult to buy a home. So much for the American Dream!

l ballard realtor | 10:42 a.m. Jan. 14, 2009

looks like i am ready to revisit who i will be voting for next election. Plz don't do it Govenor Huntsman.

Jim Russo, Realtor | 10:59 a.m. Jan. 14, 2009

Please no more taxes, do you want to slow down the purchasing or selling of a home more than it already is at this time. Drop the proposal....

Shelley Adams | 12:18 p.m. Jan. 14, 2009

This is absolutely ridiculous. Have you not heard that we are in a deep recession and people can't even afford the everday necessities of life and you want to tax services, too!? Why don't you just do your job, manage the budget and stop spending unnecessarily and we wouldn't be in this mess.

Deone C. Smith | 12:51 p.m. Jan. 14, 2009

Even if the housing market were not in a sluggish state, this would not be the answer to the budget deficit. Getting our ecomony going again and continuing to bring in companies by making Utah a magnet to business owners will fix the budget deficit. It's good to trim the fat from time to time. No more penalties, no more additional taxes. The Gov. was on the right track with the 5% flat tax and eliminating the food tax. This, in and of itself, will give our state a competetive edge.

Agent | 3:03 p.m. Jan. 14, 2009

Raising taxes only worsens the economic climate, and just in case the wealthy politicians haven't noticed, we are already in some serious trouble financially. The only thing that has ever sparked the economy in the past has been lowering taxes,not adding new ones or expanding the current glut we already pay...ad nausium. If we stay on this path of reckless abandonment of common sense by continually raising/creating taxes, a crash is eminent;then they won't get anything,as there will be nothing left to get.

Kalmar Robbins | 3:36 p.m. Jan. 14, 2009

As we change the tax law we have to deal with the unintented consequences of those changes. At a time that the construction and real estate are being affected adversly by the economy is not the time to place a new tax on those services. It is counter productive. If you need to raise taxes you need to do it through the income tax so the poor are not affected but it is spread across the population of the state. When you tax special groups or interests it becomes a hidden tax and that is unconscionable.

Lori Belnap - Realtor | 4:36 p.m. Jan. 14, 2009

This is the worst thing we could do to consumers! Especially in this economic climate. A sales tax on services rendered is insane. The public gets taxed enough as it is and the general public needs to be made aware that this tax will just increase their costs over and over again. For instance, a consumer wants to build a new home, with this service tax, the consumer would be taxed on the contractor, the subs(each one), the title company, the realtor(s), the appraiser, the engineer, and the list goes on and on. How much more should a consumer have to pay? This is a tax that could have devastating effects on our already struggling economy. Let's not ruin what little advantage we have in Utah by voting for more taxes. This proposal is pure insanity! VOTE NO!!!

Tom Jefferson | 2:51 a.m. Jan. 15, 2009

Sooooo...

Governor! Are you reading this? You could hardly find a scheme that is more UNPOPULAR than this one.

Chuck this idea in the garbage.

Sandra Goldman, Assoc. Broker | 8:29 a.m. Jan. 15, 2009

Not the time, not in this economic crisis!

Brady Long | 9:10 a.m. Jan. 15, 2009

A HUGE MISTAKE!

Taxing real estate services would create massive damage to the Utah housing market! I hope the Huntsman takes the time to consult with the UAR, and all the local Realtor Boards before making a huge mistake that could permanently hurt his state!

Jocelyn Woodbury | 10:32 a.m. Jan. 15, 2009

Huntsman ready to revisit sales tax on services... Tax on services would cause the market to become worse than it already is. Our market is already struggling, let's not make it impossible for people to buy a home. It will not only make the price of homes too outrageous for homebuyers, but they will not use the professional services of a real estate agent to buy and sell. Let's not completely devestate an already struggling industry. It is all around a REALLY BAD IDEA!!!

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