One promising idea during Kentucky’s recent legislative session was a change in the state’s sales tax law.

Expanding its application to spending categories that had enjoyed exemptions over the years was a great idea -- in principle. If everyone must pay a sales tax on clothing and groceries, then why should things like landscaping fees and limousine rentals go untaxed?

But instead of simply declaring ALL financial transactions fair game, our legislators still played favorites, creating a puzzling mishmash that proves at least some lobbyists were still earning their money.

Of course, all the basic essentials even poor people must buy remain taxed. But for some reason, those people who buy and sell million dollar yearlings at the Keeneland Sales every year will still avoid sales taxes on them.

Why? You’d have to ask their lobbyists.

Likewise, we’ll all be paying the tax on veterinary services for our dogs, cats and other small animals. But those same services for animals like cattle and sheep will still be tax-free. And if you don’t think lawyers for the agriculture industry had a hand in that, you’re dreaming. 

Bottom line: If Kentucky wants more revenue from its sales tax, it should make sure it generates a fair share from people and businesses at ALL levels of our economy. Playing favorites was never right, and this latest legislation hasn’t fixed that problem.

Call and share your thoughts.

I’m Bill Lamb and that’s my Point of View.

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