Kentuckiana residents see hike in taxes, tolls beginning Sunday
LOUISVILLE, Ky. (WDRB) -- Hoosiers are paying more at the pump while Kentuckianas are now paying more for certain services, all on the same day it started costing more to cross all three tolled Ohio River bridges.
If you’re hitting the road for the 4th of July, brace yourselves. Prices at the pump have gone up in Indiana, but it has nothing to do with supply or demand.
"Normally it takes me around if it's empty around $30 $32," long-time Jeffersonville resident Richard Bratcher said.
Customers at Thornton's just over the Lincoln Bridge in Jeffersonville were a little caught off guard Sunday. Just when Hoosiers thought gas prices were leveling off, drivers are getting hit with a penny more per gallon tax as of July 1.
Bonnie Camp, who drove up to Indiana from Georgia Sunday, told WDRB gas prices are a lot cheaper to fill up in the Peach State.
“This thing in Georgia about $20 to $25. In Indiana about $30 to $35," Camp said.
Last year, lawmakers approved a 10-cent gas tax increase, raising the tax a penny a gallon every year until 2024.
It’s all part of a plan to fix the state's crumbling roads and bridges.
"It doesn't sound like a lot,” Camp added. “It doesn't but it adds up for our roads."
Bratcher agreed, "We definitely need the roads and bridges fixed. Make it safe for everybody to drive."
Indiana gas prices aren't the only things that jumped Sunday. Tolls also inched up 2.5 percent.
Passenger vehicles will pay between $.05 and $.10 more on all three Ohio River bridges every time they cross.
But Kentuckians aren’t off the hook when it comes to a jump in taxes.
They are now paying 6 percent more for auto repair, landscaping, gym memberships and taking your pet to the vet.
WDRB Business Reporter Chris Otts said lawmakers approved the increase to raise money for public education.
"The Republicans who dominate the state legislature want to make Kentucky more like Indiana and Tennessee. Those states have high sales taxes and low income taxes."
But Mike Newton, who owns Newton’s Automotive Repair isn’t convinced.
"I think it's going to hurt more working people than it is helpin'."
As part of the tax changes in the state, about a dozen other services that were previously untaxed became subject to the new taxes, including:
- Landscaping, including lawn / landscape care and maintenance; tree trimming, pruning or removal; landscape design and installation
- Snow plowing or removal
- Cleaning services, both residential and commercial, including carpet, upholstery, and window cleaning
- Veterinary services for “small” animals (such as dogs and cats) but not for cattle, swine, sheep, goats, llamas, alpacas, ratite birds, buffalo, and cervids
- Pet care, including grooming, boarding, pet sitting and obedience training
- Industrial laundry services, including industrial uniform supply services, protective apparel supply services, and industrial mat and rug supply services
- Dry cleaning and non-coin-operated laundry services
- Linen supply services, including table and bed linen supply services and nonindustrial uniform supply services
- Indoor skin tanning (tanning booths, beds and spray tans)
- Non-medical diet and weight reducing services (such as Weight Watchers)
- Limousine rentals, if a driver is provided
- Extended warranties (such as those sold with vehicles and electronics)
The state is also adding the tax to certain fees, whether monthly or annual memberships or one-time tickets, to enter certain facilities:
- Bowling alleys
- Skating rinks
- Health spas
- Swimming pools
- Tennis courts
- Weight training facilities
- Fitness and recreational sports centers
- Golf courses (public and private)
- Campsites and campgrounds, including RV parks
Government entities such as state or city parks that charge admission must also add the tax.
- Indiana to see 1-cent gas tax increase
- Tax hike fuels jump in Indiana gas prices since last year
- New sales taxes for Kentuckians take effect July 1
- Kentucky's Republican tax reform starts to hit worker paychecks
- New Kentucky sales tax to hit summer camps, other services
- YMCA: New Kentucky sales taxes will hit membership fees
- SUNDAY EDITION | Questions, confusion as Kentucky prepares for new sales taxes
- RiverLink reminding drivers that bridge tolls go up July 1
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