Excise Tax Losses Loom Larger in Surcharge Issue

October 11, 2012
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If Revere loses the coveted and necessary Rental Car Surcharge fee from Thrifty Rental Cars, that loss will be only half of the story.

City Director of Finance George Anzuoni said that the City would lose around $600,000 per year in excise taxes as well when Thrifty leaves for the Logan Airport’s new Consolidated Rental Facility.

“We have averaged some $600,000 in excise taxes from them for the last three years,” said Anzuoni. “That’s the average. It’s been higher. That is the biggest thing we’ll be losing.”

The City receives an excise tax on every vehicle registered within the city limits. That is a very lucrative tax for the City and rental car companies are the largest payees of that tax. With Thrifty moving to the airport facility, those cars will no longer be registered in Revere and Revere will no longer be able to collect the yearly excise on them.

Meanwhile, Anzuoni has previously reported that the City would lose an average of $575,000 per year from the surcharge if and when Thrifty leaves.

Thrifty is mandated to move onto Logan Airport per a nationwide move from the Environmental Protection Agency (EPA). All over the country, centralized rental facilities are being built so that only one bus service will be used, and that off-airport facilities will be eliminated.

All in all, Revere will lose an average of $1.175 million per year in revenues when Thrifty leaves.

“Between the two, that’s what we’re losing,” said Anzuoni.

So far, state delegation members have said there are no answers to the problem, but they will discuss revenue replacement options later this year.

  • budman

    Have a ceiling cap on wages and trim the Fat as there is alot, we the tax payers are are having a hard time making ends meet !

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