There has been a request to raise the sales tax to over 10% in Olathe, Kansas

There has been a request to raise the sales tax to over 10% in Olathe, Kansas

The current owners of the Great Mall of the Great Plains in Olathe, Kansas have requested a 1.5 sales tax hike for items purchased at the mall. With the current Olathe sales tax at 8.65%, that would push the sales tax for mall patrons to over 10%.

The additional tax revenue collected would help finance a $210 million redevelopment of the mall property.

The owners of the property Great Olathe Center LLC has asked the council to set the public hearing for 7 p.m. Sept. 7. The council postponed action on the request Tuesday but will consider it at its Aug. 17 meeting.

The mall owner said the redevelopment could include commercial retail, residential houses, office and hotel as well as associated parking, transportation and infrastructure improvements.

I see some major flaws in the proposal to the city of Olathe. First, upon a visual observance of the mall, there are more stores cosed then opened. Second, if the sales tax is raised to the point that it will cost mall patrons $10 for every $100, I’m sure there will be less mall patrons. Thirdly, if there are fewer mall patrons, how many other stores will close providing fewer options for patrons to spend money?

It is hard for me to believe that people from Olathe will be rushing over to the Great Mall of the Great Plains to spend their money at a higher tax rate. There are many other options for the people of Olathe to make their purchases.

Just a though, what do you think?

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Blog post written by the Dowell Taggart Team of RE/MAX Best Associates

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