Tax laws

With the move to tighten up on spending, state officials are constantly seeking innovative ways to raise revenue.

In some cases, the way in which some states are taxing in order to rake more money into the coffers is downright strange. Whether it be bagels or balloon rides, everything seems to be in play when it comes to raising new revenue.

In Durham, N.C. cats, dogs and other pets are considered personal property and their owners must pay a tax and there is a big difference if they are fixed. The tax on spayed or neutered pets is $10 but if they stay intact, it's $75.

If you have a sweet tooth and live in Illinois, you must deal with an odd tax. There's a candy surcharge of 5 percent regarding candy which is above the state's 1.25 percent sales tax on food. But in the Clintonese world of "what is ...is", Illinois defines its candy by its flour content for tax purposes. Those malted milk balls that were an Easter treat, for instance, were exempt while jelly beans were not.

The way Chicagoans drink their soda also affects its tax. The tax is 9 percent if served from a soda fountain but if you drink it from a can or bottle, it's only 3 percent.

Speaking of drinks, every state has a tax on alcohol. Pennsylvania's tax can be traced back to the Johnstown flood in 1889 which killed over 2,000 people. The alcohol tax was used to help rebuild the city then and again in 1936 after another devastating flood. The tax is still in place, raking in about $200 million a year for the Keystone State.

Even the famous New York bagel has its own bizarre tax. There's an eight cent charge if your bagel is altered, such as slicing, toasting or being served with a "schmear" of cream cheese or butter. So it's cost effective to use your own knife and do the bagel cutting yourself.

Taking a balloon ride in Kansas is tricky when it comes to the tax. Balloons that are set free and not tethered are considered a legitimate form of transportation and therefore not taxed while those that are tethered are considered amusements and must pay a tax.

Since the state of Maine produces 99 percent of all the wild blueberries sold in the nation, a tax is expected. But the state comes after the blueberry business on every level, including growing, processing and handing, selling and purchasing.

Taxes even affect the way we look and feel about ourselves. There's a 6 percent sales tax on tattoos, body piercings and electrolysis in Arkansas, which ironically is known as The Natural State.

In Minnesota, there's a 6.5 percent sale on fur apparel, which applies to the shipping of fur items as well as any finance charges incurred.

And finally, there's even a tax in Utah on services provided by the unclothed. Any business employing "nude or partially nude" workers must pay a tax of 10 percent on services sold to patrons.

There's a positive ending to this one. The revenue is used toward treatment services for sex offenders and funding for investigation of Internet crimes against children.

By Jim Zbick

jzbick@tnonline.com