Providence Local News

 

Commission Sued over Woonsocket Supplemental Tax

Commission Sued over Woonsocket Supplemental Tax

   WOONSOCKET, R.I. (AP) _ A state-appointed commission is being sued on allegations it illegally imposed a $2.5 million supplemental tax in Woonsocket last month.

 Taxpayers filed a lawsuit earlier this month in Providence Superior Court against the state budget commission overseeing the city's finances.

The Providence Journal reports the plaintiffs claim a law only allowed the extra tax if the city ``realized'' $3.75 million in savings from contract concessions, retirement benefit reductions or both. The lawsuit says the tax shouldn't have been imposed because it was based on projected savings, not actual savings.

The lawsuit also says the tax is unconstitutional because it doesn't allow for appeals.

State Revenue Director Rosemary Booth Gallogly said last month that the budget commission obtained savings that would total $4.7 million, more than the mandated $3.75 million.

Photo Credit:Shutterstock Bruce Rolff

           

 

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