Business & Tech
[POLL] What Do You Think About Chafee’s Proposed Meals Tax Hike?
Under the governor's budget plan, the restaurant tax would go from 8 percent to 10 percent next year.
When it comes to Gov. Chafee's proposal to increase the restaurant tax from 8 percent to 10 percent, restaurant owners in Rhode Island have strong feelings.
Ken Lewis, manager of in Little Compton, said he's completely against the proposal.
"It's not going to help business at all," he said, nothing that his waitresses and bartenders rely mostly on tips, and if the governor's restaurant tax increase goes through, their tip sizes will be reduced.
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owner Steve McDonald echoed the sentiment.
"We're opposed," he said. "It's definitely going to hurt us."
“This is a second restaurant tax,” said Matt Wronski, owner of and in East Greenwich. “First they added a percentage point that was going to be temporary,” he said, referring to the increase from 7 percent to 8 percent in 2003, when Gov. Carcieri was governor. That 1 percent, which is still collected, goes back to cities and towns. Chafee's 2 percent increase would go to funding education on the local level.
“Once they get their fingers in your pocket, they don’t let go,” said Wronski. “I’m from Detroit. I’ve seen this movie and it doesn’t turn out well.”
Find out what's happening in Tiverton-Little Comptonfor free with the latest updates from Patch.
He continued: "I've had to cut staff. I've had to figure out better ways to make purchases. It's not enjoyable. You have to have a budget that makes sense."
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