Poll shows support for gaming tax, opposition to business levy

Monday, June 19, 2000 | 9:19 a.m.

Nevada voters are solidly in favor of a 5 percent increase in the casino revenues tax, but are opposed to a 4 percent hike in taxes on businesses in general, according to a new poll.

The poll shows voters approving by a margin of 63 percent to 26 percent a petition by state Sen. Joe Neal that would increase the state fee on casino revenues from the current level of 6.25 percent to 11.25 percent. A total of 637 likely voters were polled statewide by the Mason-Dixon Polling & Research Inc. and 11 percent were undecided. The poll, conducted for a Las Vegas newspaper, has a margin of error of 4 percentage points.

Although those polled approved a casino tax hike, they were opposed to a petition being circulated by the Nevada State Education Association that seeks to impose a 4 percent tax on the net profits of all Nevada businesses. That petition is opposed by 56 percent of those polled, with 29 percent voicing approval and 15 percent undecided.

In another poll conducted by the newspaper, incumbent Democratic Congresswoman Shelley Berkley holds a lead over three possible Republican challengers.

Brad Coker, managing director for Washington, D.C-based Mason-Dixon, said the difference in voters' reactions to the two tax proposals might be because of the more widespread effect of the business tax.

"The business tax is dead on arrival," Coker said. "It's too sweeping, affecting everybody who works for a large company to those who own and operate a small business."

Voters might look more favorably on the casino tax because they view the proposal as affecting mainly large corporations. The tax would only apply to casinos that gross more than $1 million per month from gaming, and its sponsor estimates it would generate $388 milion per year for state coffers. Nearly half of that amount - 45 percent - would be used for public education, with the rest slated for reducing the motor vehicle privilege tax, raising salaries of the Nevada Highway Patrol and other items.

"The gaming tax, people look at differently," Coker said. "They see the gaming industry as a cash cow. It's money that's brought into the state mostly from outside sources. The more they can milk out of that industry the less they have to tax other businesses and other individuals."

Not so for the tax on business profits, which would affect companies across the board and conservatively is pegged to raise $250 million per year.

Petitions being circulated require the signatures of at least 44,009 valid registered voters. If enough signatures are gathered, the Legislature would be compelled to take up the measures within the first 40 days of next year's legislative session.

In the congressional poll, Berkley leads Republican Jon Porter by 49 percent to 36 percent, with 15 percent undecided.

In a race against Republican Nancy Price she has 54 percent to 34 percent with 12 percent undecided. And against Jim Blockey, a third GOP hopeful, she rates 56 percent to 29 percent, with 15 percent undecided.

The poll has a margin of error of plus or minus 5.6 percentage points.

The national Republican Party has targeted Berkley as a Democratic candidate who is vulnerable in the 2000 elections.