Owners of coin-operated car washes in Aurora, Colorado, say they fear a new tax that the city may begin collecting from them. The city is now looking to collect fees for use of coin operated machines, according to the Denver Post. The tax could require the some business owners pay to upgrade their equipment to collect the tax.
“A laundromat can’t charge sales tax, nor can a (self-service) car wash,” said John Zayac, owner of two Pro Clean Auto Washes. “In a laundromat, you can’t shorten the wash cycle to reduce cost to pay the tax. And at a car wash, it would cost me $30,000 per each car wash to add sales tax by upgrading the machines to accept credit cards. We charge a quarter. How are we supposed to add pennies to that?”
The city is looking to collect a 3.75-percent tax. City officials say it would generate as much as $300,000 in annual revenue each year.