Sales tax referendum to be on ballot in Yadkin

Fourth time's the charm? Leaders in Yadkin County are hoping that is the case for a sales tax referendum on the ballot this fall. The measure which is a quarter center sales tax has been on the ballot three times before, most recently in 2020, and it failed each time.

Each of the four candidates running for Yadkin County Commissioner said during a forum that they were in favor of this tax which would help spread out the tax burden on more than just property owners. County Manager Lisa Hughes said the increased sales tax could bring in more than $800,000 in needed revenue annually for the county.

"The Sheriff and Fire Departments have demands that cannot be met any other way without increasing property taxes," said Chairman Kevin Austin.

Neighboring counties including Forsyth, Surry and Wilkes have already enacted such a tax, as have a total of 46 counties in the state.

"Surry County has had this additional sales tax since 2007, Wilkes since 2010 and Forsyth since 2020," said Hughes. She also noted that it does not apply to unprepared food (groceries), gas or medicine.

"The Board of Commissioners is making this request of Yadkin County citizens because it is the fairest tax of all, as it applies to citizens who rent property as well, whereas property tax increases apply only to people who own property. Sales tax also applies to people who are visiting here and make purchases here," said Hughes. "This is a revenue alternative to a property tax rate increase. It is estimated to generate $850,000 and would be used to help the County meet the increasing costs of providing services to citizens and to replace decreasing revenue such as Medicaid Hold Harmless. The County lost over $550,000 of revenue in FY2024 due to the State's increased Medicaid costs that resulted in the decreased Medicaid Hold Harmless revenue."

Hughes said if the measure passes, the earliest it would be effective is April 2025.