Rental car tax shouldn't apply to Flexcar
The Seattle Times published an editorial this morning joining us and many others in opposing the recent Department of Revenue decision requiring Flexcar to pay the rental car tax:
In many ways joining Flexcar is like buying a timeshare, only without the three hour high pressure sales pitch. It doesn't make sense to require timeshares to pay the hotel tax, and we should not require Flexcar to pay the rental car tax.
Additionally, as the Times notes, shared vehicle programs are part of the solution to the climate crisis, they help fight congestion and they encourage conservation. When we collect revenue for our common wealth - the public treasury - we should target the polluters, not innovators and problem solvers like Flexcar.
Flexcars are different from rental cars in a practical sense — if not under state law. The state Department of Revenue should find a way to exempt Flexcar from the rental-car tax, as the governor has requested. Failing that, the Legislature should act because the cars help achieve important public-policy goals: reducing carbon emissions and congestion.Exactly. A rental car is a temporary service people use when on vacation or to get around when a car breaks down. By contrast, Flexcar is pooled ownership.
In many ways joining Flexcar is like buying a timeshare, only without the three hour high pressure sales pitch. It doesn't make sense to require timeshares to pay the hotel tax, and we should not require Flexcar to pay the rental car tax.
Additionally, as the Times notes, shared vehicle programs are part of the solution to the climate crisis, they help fight congestion and they encourage conservation. When we collect revenue for our common wealth - the public treasury - we should target the polluters, not innovators and problem solvers like Flexcar.
