Milwaukee's 2% Sales Tax Hike: What You Need to Know

The Milwaukee Common Council has passed a 2% sales tax increase, the first of its kind in the city's history. The tax hike is connected to a statewide shared revenue plan aimed at addressing budget deficits and underfunded pensions. The additional revenue will go towards maintaining essential city services, such as police, fire, and emergency services, as well as the underfunded pension system. The sales tax increase will take effect on January 1, 2024, and will raise the total sales tax for Milwaukee residents to 7.9%. The decision to implement the tax hike was made to prevent deep cuts to core services and avoid insolvency in the future.