Oneidas not taxing anything but sense
Nov. 8, 2001

OD editorial

It’s not every day you see someone labeling something a tax if they can help it.

Usually, folks go out of their way to avoid the word “tax” with catchy phrases such as “revenue stream” or state Lottery.

But the Oneida Indian Nation announced last week that it’s imposing a 3 percent tax on hotel rooms at Turning Stone Casino Resort and a 5 percent tax on cigarettes, soda and other items, excluding gasoline, at its area stores.

If the Oneida Nation wants to raise prices, that’s its prerogative. We’re owed no explanation for that. But it will take some explaining to figure out how this price hike qualifies as a tax.

When the state collects taxes, the money is used to provide myriad public services. The Oneida “tax” will not provide public services.

When the state levies a tax on us, it has to account to us where the money goes. The Oneidas don’t have to do that.

This “tax” money will just go back into the Nation’s coffers to be spent as the Nation sees fit. That’s fair enough, but let’s call it what it is: a price increase.

Of course, the Oneidas prefer the word “tax” because the Nation is so often criticized for not paying state and federal taxes. The label “tax” is supposed to give us the illusion that the Oneida Nation charges “taxes” just like its competitors.

That’s a tough sell, but getting us to buy the idea that this is a noble gesture is just insulting.

The Oneidas are willing to make more money in order to “level the playing field” with their competitors. While this “tax” may result in similar prices, there is a big difference: The Oneidas get to keep the extra money, their competitors don’t. That’s not exactly level. Meanwhile, consumers pay higher prices.

If the Oneidas want to raise prices, fine. But don’t tax our common sense by pretending that’s not what’s going on here.