We believe there is a compromise that will satisfy local businesses and the city in regards to the business and occupation tax increase that council enacted Sept. 10.
We have no doubt that the city needs more funds. Prices are increasing everywhere and the city hasn't increased the B&O tax since 1977. We are sure local businesses would be hit hard by a 250 percent increase as proposed.
The large increase was just such a shock to small businesses. When looking at rates in matters of cents, it may not seem large. But when it is calculated on gross revenue, not a net gain, the cents quickly pile up.
Perhaps our biggest concern when looking at the new ordinance was the fact that it was retroactive to July 1. That did not allow businesses an opportunity to make any needed adjustments for a nearly three-month period--an entire quarter of the year.
We believe the right thing is going to happen at a meeting Thursday. Hopefully all can discuss the matter in a civil matter, understand both sides, and reach a compromise.