Court Opinion

ID: 9769172
Source: CourtListenerOpinion
Date Created: 2023-08-29 14:36:55.189596+00
Date Added: 2024-06-11T07:30:56.834669
License: Public Domain

David Newbern, Justice, dissenting. A major premise of the majority opinion is that the compensating use tax is one imposed by the General Assembly. In my view, the General Assembly only authorizes the imposition of the tax. It is imposed by a vote of the people who will pay it. Act 31 of the First Extraordinary Session of 1987 permits a vote to be taken using the ballot form which, in accordance with Act 991 of 1981, only apprises the voters that they are voting on a sales tax. The people are not told they will adopt a use tax as well. The court’s opinion states: “By passing their own sales and use tax under Act 26 (or by approving neither), citizens of any county have the same opportunity to avoid the imposition of the use tax otherwise imposed by Act 31.” What of the voters in the cities or counties who pass a sales tax pursuant to Act 991 and unwittingly subject themselves to a use tax as well? The “opportunity” is but a sham with respect to voters who are informed only that they are voting on a sales tax. The laudable balancing nature of a compensating use tax does not excuse the failure to inform the voters of what they are voting on. In other election contexts, such as ballot title reviews, we insist on full disclosure. Arkansas Women’s Political Caucus v. Reviere, 283 Ark. 463, 677 S.W.2d 846 (1984). See also Gaines v. McCuen, 296 Ark. 513, 758 S.W.2d 403 (1988); Ferstl v. McCuen, 296 Ark. 504, 758 S.W.2d 398 (1988); Leigh v. Hall, 232 Ark. 558, 339 S.W.2d 104 (1960). Allowing voters to be misled in the case of a compensating use tax will lead to allowing them to be hoodwinked on other matters. I would insist on full disclosure in this case and affirm the chancellor’s decision. I respectfully dissent.