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In Hawaii, tough times could mean higher hotel tax

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Hawaii’s Democrat-dominated Senate voted overwhelmingly to increase the hotel tax from 7.25% to 8.25% on July 1, and then to 9.25% on July 1, 2010.

The measure, along with other tax proposals, addresses a budget shortfall in Hawaii.

The vote was 19-5, with three Democrats opting to side with the Senate’s two Republicans, reports the Pacific Business Journal.

Gov. Linda Lingle, a Republican, said she might veto the bill, but the Senate has enough votes to override the veto.

Naturally, the hurting hotel industry in Hawaii is none too pleased.

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