Most in Mich. Oppose Governor's Service Sales Tax

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A majority of Michigan residents polled said they oppose Gov. Jennifer Granholm's proposal for a new tax on services and entertainment, a newspaper said Sunday.

Granholm has proposed a 2 percent services tax to help close a $900 million deficit in Michigan's budget for the fiscal year that ends Sept. 30.

Twenty-eight percent of 801 Michigan adults interviewed by telephone March 11 through Wednesday said they support a 2 percent services tax, according to the poll by Selzer & Co. of Des Moines, Iowa, for the Detroit Free Press.

Nine percent said they support a 1 percent tax, while 58 percent said they oppose a service tax. Five percent were unsure.

The results have a 3.5 percentage point margin of sampling error.

The Democratic governor has said that the tax on services such as haircuts, legal work and cable TV needs to be passed by April 1 and in place by June 1 to avoid deep cuts in government services. Republicans in the Legislature are opposing a tax increase.

The poll also found that 60 percent of people said they support more spending on public universities because it helps give workers skills for the future. Thirty-seven percent disagreed, and 3 percent were unsure.

At the same time, 78 percent said the state should hold the line on taxes in order to attract new businesses. Seventeen percent disagreed, and 5 percent were undecided.

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