Hendersonville will lose sales tax revenue as a result of not raising property taxes

Proving the adage no good deed goes unpunished, Hendersonville will face a putative reduction in its share of sales tax revenue as a fallout for not raising property taxes.

Hendersonville will get $600,000 less in sales tax next year due to city council’s decision to hold the line on property taxes. Meanwhile, Henderson County will get a bigger share of sales tax revenue as a result of raising property taxes by 4 cents per $100 in property value.

That’s due to the complicated formula used to divvy up a share of state sales tax revenue among local governments. The piece of the pie coming to Henderson County versus Hendersonville is based on the property tax rate of each…

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