Yup. According to the Collegian, Borough Council is thinking of imposing a 10% tax on poured alcoholic beverages.
“We all want it,” Council President Elizabeth Goreham said. “This is our dream tax.”
The proposed measure represents an opportunity for the borough to receive income from its student population, which typically pays fewer taxes than permanent residents, Goreham said.
A 10 percent drink tax would allow the borough to recoup the costs of some of State College’s “alcohol-inspired issues,” Goreham said.
That’s all well and good, but it seems to me that this ordinance would unfairly target students that consume alcohol (“students”). In this economic downturn, wouldn’t it be in the Council’s best interest to promote student spending, instead of limiting it by levying taxes? Will the taxes even amount to anything anyway? I believe Bill Mahon, Penn State spokesperson, said it best:
“…The State College culture of inexpensive drink specials could lead to a less effective poured drinks tax. …You wonder: What is a 10 percent tax on a 25-cent beer?”
For those interested, it’s two and a half cents. For Council’s sake, hopefully it adds up.