Answer the question below in a paper AT LEAST three (3) pages in length. The paper should be typed, double-spaced, 1” margins (2” right-hand margin), with a font size no larger than 12 point, nor smaller the 10 point. Undertake as much outside research as necessary to adequately answer the question. Recently the Massachusetts legislature enacted a statute that would allow municipalities to institute LOCAL OPTION TAXES, which are basically surtaxes over the state sales tax meals and lodging in within the municipality. For example, the state meals tax is currently 6.25%. In Boston, the meals tax may be 7%, with 6.25% going to the Commonwealth and 0.75% to the City. Do you think it is wise for municipalities to tax consumption during an economic downturn? Does this open the floodgates to localities passing all types of additional taxes? To local income taxes?
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