Half-penny sales tax increase on Nov. 5 ballot
Gallatin residents will be asked to vote up or down for a half-cent per dollar sales and use tax in the Nov. 5 election. On the ballot, the referendum reads, “Shall Ordinance No. 02406-29 (passed 1st reading on July 2, 2024, passed 2nd reading on August 20, 2024) for the purpose of increasing investment in City services such as parks, roads, and public safety, increase the City’s sales tax a half a penny per dollar?”
When asked by the Gallatin News about the expected financial impact, Gallatin’s Finance Director, Rachel Nichols said, “Based on current sales tax collections, we anticipate approximately $3 million additional revenues annually.”
She went on to explain that the half-cent per dollar increase in the City’s sales tax was derived in consideration of the tax rate ceiling imposed by the State of Tennessee.
“The State has capped the percentage at 9.75% total,” said Nichols. “Currently the State is getting 7% and the city is getting 2.25%–or 9.25%. The .5% is the maximum amount we can increase, and only if the County doesn’t ask for it first.
https://mainstreetmediatn.com/articles/gallatinnews/half-penny-sales-tax-increase-on-nov-5-ballot/?pubid=mainstreetclarksville