published Monday, May 23rd, 2011

Hamilton County: Attorney General rules county can charge cities 1 percent commission

by Dan Whisenhunt

The Tennessee Attorney General’s office has ruled that the Hamilton County Trustee can charge cities a 1 percent commission for collecting local sales taxes, a service performed for free under a sales tax agreement that expired Monday.

Trustee Bill Hullander sent a copy of the agreement to the Times Free Press Monday afternoon.

Hullander had asked whether the county could charge one percent or two percent for this service, saying he received conflicting advice from the University of Tennessee’s County Technical Assistance Service and other trustees.

Hullander said the county will bring in $500,000 from the collection fee, which will be charged to all cities and the county.

“ ... In most counties, the county trustee would be entitled to a commission of 1 percent on the amount of local option sales tax funds the trustee receives ...,” the opinion states.

Read more in tomorrow’s Times Free Press.

about Dan Whisenhunt...

Dan Whisenhunt covers Hamilton County government for the Times Free Press. A native of Mobile, Ala., Dan earned a degree in broadcast journalism from the University of Alabama. He won first place for best in-depth news coverage in the 2010 Alabama Press Association contest; the FOI-First Amendment Award in the 2007 Alabama Press Association contest; first place for best public service story in the Alabama AP Managing Editors contest in 2009 for economic coverage; and ...

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midnitewatchman said...

So now that the biggest city in Hamilton County refuses to be partners with the County in its Services offerred that benefit both the City and the County residents, $500k of City tax dollars will go to the county as a "fee" instead of working together for services for all. Of course Red Bank, East Ridge, Colledgedale, Soddy Daisy dont contribute $10 mil a year, they are not the "4th" largest City in Tennessee.

May 23, 2011 at 7:44 p.m.
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