Connecticut passes sales tax on carwash services - Professional Carwashing & Detailing

Connecticut passes sales tax on carwash services

MANCHESTER, Conn. — Local carwash owners raise concerns about the tax’s impact on business.

MANCHESTER, Conn. — Connecticut lawmakers are imposing a new sales tax of 6.35 percent on carwash services, including vacuums and coin-operated washes, according to wfsb.com.

An association representing around 100 family-owned carwashes across Connecticut wants the Connecticut General Assembly to revisit the sales tax, “concerned its members will have to absorb the cost,” stated the article.

Local carwash owners feel that if they have to increase prices to help cover the sales tax, the higher prices may not cover the full cost and might result in the loss of price-sensitive customers, the article reported.

“You put everything you own on the line to run a business,” said Todd Whitehouse, former president of the Connecticut Carwash Association (CCA) and owner of Connecticut carwashes, in the article. “And for someone to come in and say, `We’re going to tax you on something you can’t collect, just raise your price,’ is not the answer. We’re a discretionary purchase. People need gas in their vehicle to get to work, but they don’t need a clean car to get to work.”

The sales tax for carwashes took effect on July 1, the article noted.

Read the entire article here.

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