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Show 2 - RECOVERY TIMES - MAY 15, 1995 SALES TAX IN CASTLE VALLEY? Recent conversations with the Utah State Tax Commission have indicated that Castle Valley has an— other source of funding for the community. Apparently, Grand County has been collecting a 1% sales tax which can be credited to the Town of Castle Valley instead of to Grand County. Very rough guesses by an em— ployee of the Tax Commission in— dicated that Castle Valley might gain as much as $10,000 from this source. So far, conversations with the Tax Commission have not shown there to be any disadvan— tages for Castle Valley residents or businesses. We will continue to try to find out if there is any disadvantage before making the necessary changes to get these funds. Some history: The sales tax issue came up several years ago. At that time it was presented as a very small source of funding, with the under— standing that the Town would have to impose an additional sales tax on Castle Valley businesses. Because of the minimal funding and the increased work for Castle Valley businesses, the matter was dropped. Through two recent mistakes of the State Tax Commission (in— cluding sending a letter to the Town of Castle Valley that should ing formula. Half of the pool is divided amongst the counties and municipalities on the basis of pop— ulation, and half is divided on the basis of the amount of sales tax generated in each county or mu— nicipality. The population division is used because, in the case of communities like Castle Valley where there are very few businesses, the residents have to go to other places to make their purchases. This way they get some return on the sales taxes they help to generate. The way the law is written, Grand County does not get credit for the population of Castle Valley. “The population of a county for purposes of this section shall be determined solely from the unincorporated area of the county.” Sounds like for the population allocation, Castle Valley wins, without Grand County loos- ing. What We Have To Do: 1) Keep checking to see if there are any problems that we haven’t been told about. 2) If it continues to look OK, the Town would have to pass an ordinance for the 1% sales tax (rather than Grand County) and sign an agreement with the State Tax Commission that they will administer and collect the tax which they are already doing and crediting to Grand County. 3) Because of Tax Commission have gone to Castledale), Lois and I have gotten a lot more information about this issue. Local Sales and Use Tax: Utah State Code allows either counties or municipalities (towns) to collect a 1% local sales and use tax. The tax money goes to the counties unless the municipalities pass an ordinance designating the tax for themselves. Again, Grand County is presently credited with the benefits of this tax. The 1% tax is collected by the State Tax Commission, so there will be no additional work for the Town or for local businesses. Once collected by the State, the taxes go into a general pool which is then divided up by the follow— time frames, the Town needs to do this at its next Council meeting if the Town is to start accruing credit for the next quarter beginning in July. 4) Check with Town attorney to see if he knows of any problems. 5) Share this information with the Castle Valley businesses that might be most affected if any of the information I have been given is incorrect. If anyone has any information that this sales tax option might cause any problem for Castle Valley businesses or residents, please let me know. Jack Campbell Melody from page 1.... own. It is a hard place to live. It brings out the “REAL” in peo— ple. It shows your “real” strength and happiness or your “REAL” unhappiness, paranoia and jeal— ousy of the happiness of others, No one lives in Castle Valley free. We all have or will pay our dues one way or another (I’m not re— ferring to FDA dues either), Castle Valley people are hard workers and busy. Few have time or energy for Town meeetings and involvement. But for those that have and do, I give you my Thanks. I’m proud to represent the property owners of this valley. I’ll do what I can to maintain the long standing integrity of this association. My door is n_ot open to everybody, but my phone is. For those I have not met, I’m looking forward to meeting you. For those who want to be involved and work towards the Valley we have all dreamed of for so long—I wel— come you. For those who are bent on destroying rather than building, hurting rather than helping, and initiating the fears I left Salt Lake so long ago to escape from—I will be a Sandstone wall and block you if I can. I care what happens here. I’m a lifer. When I’m gone, my sons and grandchildren will be here. This Valley is not for everyone. But it’s for me. I Thank God every Sunrise I see, Every Storm that thunders through, every time I visit friends in the city. We live in one of the most beautiful places on Earth. Show reverence or be taught it. All is well, Melody Taylor KIDS DANCE RECITAL! There is a dance recital involv— ing all kinds of dance and ages at 7pm, May 18th & 19th in the HMK gym. A minimal entrance fee will be charged. Many Castle Valley kids will be dancing. So come and join the fun! Mara Ginnane |