Ohio Considers Controversial Sales Tax on Newspapers
In a move that could significantly impact local journalism, Ohio lawmakers are contemplating House Bill 96, which would repeal nearly a century-old sales tax exemption on newspapers. This legislation, currently under review by a conference committee, proposes a 5.75 percent sales tax on newspapers, advertising services, and printing, a decision that could ravage small newspaper businesses and affect consumers.
Monica Nieporte, executive director of the Ohio News Media Association, voiced strong concerns over the implications of this bill. The proposed tax would not only strain the budgets of newspapers but also affect businesses relying on printed ads. Moreover, another provision of HB 96 targets exemptions related to machinery essential for newspaper production, compounding the financial challenges faced by an already struggling industry.
In light of this pending legislation, Nieporte highlighted a survey indicating that 84 percent of Ohioans read newspapers regularly, emphasizing their ongoing demand for local news. Despite operating in increasingly competitive landscapes with various new media outlets, local newspapers remain vital in delivering trustworthy news and advertising to communities.
Jeremy Speer, publisher of several newspapers in Ohio, echoed these sentiments and urged lawmakers to reconsider the repeal. He warned that if passed, this bill could lead to the collapse of numerous local papers, which play an essential role in community reporting and engagement.
With the number of functional printing presses dwindling in Ohio, added financial burdens could undermine the industry’s ability to deliver quality journalism, further disadvantaging them compared to other states. Speer and other industry leaders are calling for support to preserve the essential role of newspapers in American society and to ensure they can continue chronicling important community milestones.
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