In August, Phoenix voters will get a chance to vote on the transit tax. The city council referred the measure to the ballot.
If voters approve the ballot measure for a new transit tax, it would be a two-tier system that applies at purchase prices of $10,000.
For example, if someone bought a $15,000 item in Phoenix the new tax rate of seven-tenths of one penny would apply for the first $10,000. But for the remaining $5,000 the current tax rate of four-tenths of one penny would apply.
The money from the tax would go towards buses, street improvements and expanded light rail service.
If approved by voters, this tax would go into effect in January 2016 and last for 35 years.
EDITOR'S NOTE: This article has been modified to reflect the Phoenix City Council did approve a two-tier tax system as a ballot measure.
Updated 4/23/2015 at 6:20 p.m.
