(WBIR - SEVIERVILLE) The Sevierville Board of Mayor and Aldermen has approved two new taxes for the city and decreased a third tax. The changes take effect July 1.
The approval of a 2 percent restaurant privilege tax and a 2 percent amusement tax is drawing mixed reactions from residents.
Larry Guerin said, "Right now taxes are not something we should be doing in this economy at all, in my opinion."
"I don't think it's that big of a deal. I really don't," Katherine Hall said.
Joy Williams disagreed.
"No! They should not tax us anymore. They should stop that tax right where it is."
In addition to the two new taxes, the city's Board of Mayor and Alderman voted in favor of decreasing the city's lodging tax from 3 percent to 2 percent.
The City of Sevierville posted several documents on its website outlining how the tax money will be used. City spokesman Bob Stahlke said most of the money will be used for tourism-related expenses, with a small portion of what's left going to the city's general fund.
"They don't have as much revenue as Pigeon Forge and Gatlinburg and they really need extra money to help maintain, Hall said.
"[Taxes are] getting out of hand and it seems as though our governments, including our local, our state, and our federal, all just seem to think there's a piggy bank out there called taxes," said Guerin.
According the documents posted on the City of Sevierville's website, when the lodging tax was increased in early 2012 a stipulation was put on the record that if a hospitality tax was enacted then the lodging tax would be reduced to its previous rate of 2 percent, down from 3 percent.
To find out more information on the taxes, visit the City of Sevierville's website.