Mich. Fireworks Law Fizzles on Revenues

Monday, 10 Sep 2012 11:41 AM

By Greg McDonald

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Michigan's new consumer fireworks law has apparently fizzled and failed to provide the big bang in tax revenues this summer state officials had hoped for when they reversed a 45-year ban on the sale and use of airborne rockets and other fireworks products.
 
As of Aug. 31, fireworks companies had paid the state only about $2 million in licensing fees and just over $755,262 from a 6 percent safety fee leveled on sales, according to the Detroit News.
 
The state also collected nearly $514,000 in additional fees from small, temporary roadside selling points that popped up around the state after the law was passed.
 
But that was still a long way from what state lawmakers and Gov. Rick Snyder had hoped for, with estimates ranging before the law passed from a minimum of $8 million to as much as $40 million that proponents of lifting the ban had claimed.
 
"I don't think it's the $40 million people have been throwing around," Allan Pohl, director of finance and administrative services at the Department of Licensing and Regulatory Affairs, told the News when asked about the revenues. "I was not going to bet the farm on what they were saying."
 
William Weimer, vice president of Youngstown, Ohio-based Phantom Fireworks, predicted that revenues would improve for Michigan over time, adding that even though expectations came up short the state still got money from fireworks it "had never seen before."
 
State Rep. Harold Haugh, who sponsored the fireworks legislation, also told the News the revenue numbers for the summer won't be complete until large-scale retailers actually finish submitting their third quarter taxes after September.


© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Send me more news as it happens.
 
 
Get me on The Wire
Send me more news as it happens.
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Top Stories

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved