Legislature to reconvene, clarify sales tax
The Legislature is set to reconvene Tuesday to consider a slew of gubernatorial vetoes and consider a bill to clarify the language of a sales tax increase included in the $6.3 billion budget approved in late June.
The Sun Journal reported the bill clarifies that the sales tax increase will include all categories for which the state collects sales tax, including a group of health care services.
The paper reported that Grant Pennoyer, director of the Legislature’s Office of Fiscal and Program Review, said the budget would technically come up short without the language fix. The state constitution requires the Legislature to draft a balanced budget every two years.
That technical correction bill will be subject to a separate gubernatorial veto, which the paper reported could require Legislators to return later this month. A spokeswoman for Gov. Paul LePage said he will decide what to do about the bill when it reaches his desk but that he remains opposed to sales tax increases.
A vote to pass the correction as an emergency measure would need a two-thirds majority vote, the same margin required to override a veto.
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