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Counties hike sales tax, feds hike tobacco tax | KOMO News - Seattle, Washington | Local & Regional
Counties hike sales tax, feds hike tobacco tax
KING COUNTY, Wash. -- It's now a little more expensive to live around these parts.
On Wednesday King, Pierce and Snohomish counties raised their sales tax by 0.5 percent to fund mass transit expansions.
Consumers now pay a 9.5 percent sales tax on purchases made in King County stores, and a 10-percent tax on purchases made in King County bars and restaurants. The new rates in Pierce and Snohomish counties are 9.5 percent or lower, depending on the area.
The tax hikes are the result of Proposition 1. Voters last year approved a $22.8 billion Sound Transit plan featuring light rail extensions to Bellevue, Lynnwood and Federal Way.
The numbers may paint a grim picture but to most consumers, the spike will cost a little extra pocket change. On a $10 purchase, consumers now pay a nickel more.
On the tax spiked, Brian Grefsrud bought a cartful of taxable items at the Costco store in Shoreline. When time came to pay, he didn't even notice he was paying a little more tax.
"No, I sure didn't." he said.
And Grefsrud wasn't alone. Most shoppers said they didn't notice the change.
"I didn't, because my bill was so expensive," said Tina Kilman.
An extra dime on a $20 purchase may not be much-missed. But for those looking to buy a new car, it's a different ride.
On a $20,000 car, buyers would shell out an extra $100 or so. That's $100 buyers wouldn't have to pay in Marysville, where sales tax is 8.6 percent.
"Now, I sell cars every day. A $100 can make or break a deal," said Chris Cook a Marysville car dealership manager. "The consumer at this point in time, they are trying to save every dollar they can. So everything we can do to save them a dollar is a benefit to them."
In most parts of Snohomish County, including Edmonds, Lynnwood and Mill Creek, the new sales tax rate is 9.5 percent. In Everett, consumers pay 9.2 percent.
The new sales tax is 9.3 percent in most of Pierce County.
In both counties rates are lower in areas that fall outside the service zone of the Regional Transit Authority (RTA) and Public Transit Benefit Area (PTBA)
There is a group facing more than a some smokers say the cost of cigarettes is becoming prohibitive. The federal tax took a 62-cent jump on Wednesday.
Store clerk Kashif Pasha said with cigarette prices seemingly rising like smoke, his customers are grunting.
"They do complain. They can't afford it. It's pricey now," he said.
Kashif said people have been calling about prices. His tobacco, he said, is the cheapest around. But smoker Victor Kevin still worries.
"Oh my God, what do you think I should do? Be in a health club or something?" he said.
The health club will wait. Kevin bought two packs of little cigars.
Most of Kashif's customers said they'll likely keep on smoking, at least for now. But health officials predict higher tobacco prices will lead to some 15,000 people to kick the habit.
Counties hike sales tax, feds hike tobacco tax
KING COUNTY, Wash. -- It's now a little more expensive to live around these parts.
On Wednesday King, Pierce and Snohomish counties raised their sales tax by 0.5 percent to fund mass transit expansions.
Consumers now pay a 9.5 percent sales tax on purchases made in King County stores, and a 10-percent tax on purchases made in King County bars and restaurants. The new rates in Pierce and Snohomish counties are 9.5 percent or lower, depending on the area.
The tax hikes are the result of Proposition 1. Voters last year approved a $22.8 billion Sound Transit plan featuring light rail extensions to Bellevue, Lynnwood and Federal Way.
The numbers may paint a grim picture but to most consumers, the spike will cost a little extra pocket change. On a $10 purchase, consumers now pay a nickel more.
On the tax spiked, Brian Grefsrud bought a cartful of taxable items at the Costco store in Shoreline. When time came to pay, he didn't even notice he was paying a little more tax.
"No, I sure didn't." he said.
And Grefsrud wasn't alone. Most shoppers said they didn't notice the change.
"I didn't, because my bill was so expensive," said Tina Kilman.
An extra dime on a $20 purchase may not be much-missed. But for those looking to buy a new car, it's a different ride.
On a $20,000 car, buyers would shell out an extra $100 or so. That's $100 buyers wouldn't have to pay in Marysville, where sales tax is 8.6 percent.
"Now, I sell cars every day. A $100 can make or break a deal," said Chris Cook a Marysville car dealership manager. "The consumer at this point in time, they are trying to save every dollar they can. So everything we can do to save them a dollar is a benefit to them."
In most parts of Snohomish County, including Edmonds, Lynnwood and Mill Creek, the new sales tax rate is 9.5 percent. In Everett, consumers pay 9.2 percent.
The new sales tax is 9.3 percent in most of Pierce County.
In both counties rates are lower in areas that fall outside the service zone of the Regional Transit Authority (RTA) and Public Transit Benefit Area (PTBA)
There is a group facing more than a some smokers say the cost of cigarettes is becoming prohibitive. The federal tax took a 62-cent jump on Wednesday.
Store clerk Kashif Pasha said with cigarette prices seemingly rising like smoke, his customers are grunting.
"They do complain. They can't afford it. It's pricey now," he said.
Kashif said people have been calling about prices. His tobacco, he said, is the cheapest around. But smoker Victor Kevin still worries.
"Oh my God, what do you think I should do? Be in a health club or something?" he said.
The health club will wait. Kevin bought two packs of little cigars.
Most of Kashif's customers said they'll likely keep on smoking, at least for now. But health officials predict higher tobacco prices will lead to some 15,000 people to kick the habit.
