Arizona Voters OK Ban On Taxing Services, But Could They Be Asked To Revisit Down The Road?
When Arizona voters approved Proposition 126 by a nearly 2-1 margin on Tuesday, they prohibited the state from taxing services, like gym and country club memberships, haircuts and pet grooming.
There hasn’t really been much talk at the state Capitol of extending the sales tax to services, but some observers have expressed concern about a voter-approved ban on the idea — which can now only be changed by going back to the voters.
Economist Alan Maguire is the president of the Maguire Company in Phoenix. Maguire also worked in the state Treasurer’s Office and served as economic advisor to the Arizona Senate.
He joined The Show to talk about what the proposition's passage means for the state.