RI lawmaker wants to repeal tax on cab fares - ABC6 - Providence, RI and New Bedford, MA News, Weather

RI lawmaker wants to repeal tax on cab fares

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Information provided by the Associated Press

A Rhode Island lawmaker is pushing to repeal a tax on cab fares the General Assembly passed two years ago.

North Kingstown Republican Rep. Doreen Costa introduced legislation that would eliminate the 7 percent tax.

Costa says her bill has 40 co-sponsors.

"I have the support of the majority in the House of Representatives, there is absolutely no reason why this bill shouldn't or will not pass if it gets to the House floor," said Costa.

Cab drivers have protested the tax, which they say is burdensome and causes many customers to reduce tips.

Lawmakers imposed the tax in 2012, the same year they voted to apply the state's sales tax to pet grooming and boarding services and items of clothing costing $250 or more.

There were efforts to repeal the taxi fare tax last year but they never made it to a vote.

Taxi drivers likes Tom Bengaff say the tax is costing them money.

"So where you'd usually get a $5 tip a $10 tip now we are just getting a couple of dollars and if you times that by 10 customers, 20 customers a night say $3 difference you're loosing $30 a night a week the way I work, that's $180 a week," said Bengaff.

The legislation has to go through several steps before heading to the House floor.

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