City Not Collecting Vendor Sales Tax at Costly Special Events

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Panama City - Panama City officials are trying to come up with a way to balance out the costs of expensive events like Mardi Gras. But it turns out, city officials are not even collecting all the fees that they're owed.

Right now, the city spends tens of thousands of dollars on free services like police and trash pick-up. But, the city is not collecting a 1% vendor sales tax that they are entitled to claim.

Panama City Mayor Greg Brudnicki says that's because it would cost to much to administer the fee.

"The administrative cost of somebody that may only collect 30 or 40 dollars a year over a period over whatever number of process that would be more than it would to just take to just collect a one flat fee in lieu of if your sales were under a certain amount you pay this much," he said.

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