Nutter proposes tax on cigarettes, liquor-by-the-drink to help schools

Mayor Michael Nutter said 91 percent of property taxes are paid in the dame year they are due.
Mayor Michael Nutter said 91 percent of property taxes are paid in the same year they are due.

Mayor Michael Nutter on Wednesday proposed tax increases on cigarettes and on liquor by the drink to raise money for the city’s school district.

Nutter’s proposal includes a $2 tax hike on cigarettes, and an increase on the liquor-by-the-drink tax from 10 percent to 15 percent. Along with plans for improved tax collections, the city expects to raise an estimated $95 million for the school district, which faces a $300 million deficit.

The liquor tax, which is expected to raise an estimated $22 million, would go into effect July 1.

The cigarette tax, which would begin Jan. 1, 2014, is expected to generate $45 million. Cigarettes are not included in the city’s current tobacco tax.

Tougher collections on delinquent real estate, liquor by the drink, lease and occupancy, and school income taxes would result in an additional $28 million, Nutter said.

“I propose these two use taxes, because we have raised general, broad-based taxes twice in the last two years on our residents and business owners and we cannot, and should not, keep asking them for more,” Nutter said.

Superintendent William Hite originally asked for $60 million from the city, $120 from the state and $133 million in union and non-union contract concessions to close the deficit. Hite said this announcement would not change the district’s request from the state.

Hite said he was “thrilled” the city “identified a path” to fixing the budget hole.

Nutter said the city would need a “shared sacrifice” to help fund the schools. “We have to look at this in a comprehensive fashion. Everyone has to be all-in on this one.”

Nutter said there are approximately 280,000 smokers in the city, and 2,100 smoking-related deaths each year, making it the leading cause of death in the city.

The new taxes will require approval from the State Assembly and Philadelphia City Council.


News
Entertainment
Sports
Lifestyle
Local

DA: Homeless man severely beat by men in…

Two former college football players pleaded not guilty to the alleged severe beating of a homeless man in Allston earlier this year.

National

Hamas, Abbas's PLO announce reconciliation agreement

The Gaza-based Islamist group Hamas and President Mahmoud Abbas's Palestine Liberation Organization (PLO) agreed on Wednesday to a unity pact.

Local

Reports: Dead man pulled from water at Boston's…

A dead man was reportedly pulled from the water at Boston's Long Wharf Wednesday afternoon, according to the Boston Fire Department.

Local

Primark to make US debut in Boston

Dublin retailer Primark will make its U.S. debut with a store at the former Filene's site in Boston.

Television

‘Survivor: Cagayan’ recap: Episode 9

It was only an hour-long episode, but there's a lot to cover this week. The drama of Survivor strikes again as the identity of the…

Going Out

Thursty: Revamped Audubon is back in action

Having been a long time fan of Trina's Starlite Lounge in Inman Square, one of my only complaints about the place is that there's only…

Entertainment

Here's what to do in Boston this weekend

MUSIC Huun Huur Tu Friday, 8 p.m. First Church in Cambridge 11 Garden St., Cambridge $28, 617-876-4275 www.worldmusic.org This group comes from the tiny nation…

Television

TV watch list, Wednesday, April 23: 'Suburgatory,' 'Modern…

'Suburgatory' The men of "Suburgatory" go camping and Tessa mentors a social outcast in a Miss Chatswin contest, which brings her, once again, into conflict…

MLB

MLB video highlights: Red Sox top Yankees, 5-1

John Lackey shines, Pineda ejected in Red Sox win

NHL

Bruins - Red Wings Game 4 preview: Boston…

Bruins - Red Wings Game 4 preview: Boston greedy for more dominance

MLB

Fantasy baseball: Searching for early season prospects

It’s relatively rare for a mediocre 30-year-old hitter to suddenly go nuts offensively for 162 games. That’s why minor league prospects are so exciting.

U.S. Soccer

NYCFC 'targeting' US international Mix Diskerud

Metro New York has learned Mix Diskerud has drawn “interest” from the expansion MLS side, NYCFC.

Style

Pippa Middleton's Etsy pick: Golden Thread Jewelry

Get a look at the jewelry Pippa Middleton loves and find out how you can buy it too.

Parenting

What every parent needs to know to get…

Mom and author of "Small Talk," Tracey Blake, shares her five practical tips to help you develop your children's language skills.

Sex

Subway crush: Meet your soulmate on your commute

Read about a couple who has been 40 years after meeting on the train.

Tech

Happy birthday, Game Boy! The handheld console turns…

Nintendo's Game Boy turns 25 this week. To commemorate, we look at some of its better games, like "Tetris" and "The Legend of Zelda: Link’s Awakening."