Via Big Government:
Coloradans must pay a $1.50 waste-tire fee every time they dispose of an old tire at a retail outlet. And according to an “FYI Memo” from the state department of revenue, “ Effective August 5, 2009, the waste tire recycling development fee is considered part of the purchase price and is subject to sales tax.”
Based on the revenue of the waste-tire fee from previous years, this means the state and other sub-governments could collect a grand total of anywhere between $300,000 to $500,000…all because they are taxing a fee.
Memo here. Three guesses which political party controls the executive and legislative branches of the state government of Colorado...
PS: We will now pause while people complain that it's technically a sales tax on a government fee, not a tax. Wait, what?
Crossposted to Moe Lane.