Video Game Retailers Come Out Against New Mexico Tax Proposal

Video Game Retailers Come Out Against New Mexico Tax Proposal

January 26, 2008
Yesterday, GamePolitics reported on the Entertainment Consumers Association's opposition to a Sierra Club proposal that would impose a 1% surcharge on video games and TV sets sold in New Mexico.

We've also heard from the Entertainment Merchants Association (EMA), a trade group which represents a large bloc of video game retailers. The EMA has likewise taken a position against the proposed levy and shared with GamePolitics a letter sent to the Rio Grande Chapter of the Sierra Club in Albuquerque.

In the letter, EMA VP Sean Bersell writes that the tax idea is based on "suspect assumptions:"
[The] Sierra Club states that the goal of the proposed video game tax is "to fight obesity and poor school performance which may result from excessive... video game exposure." Childhood obesity and academic underperformance are complex social problems that have a myriad of suspected causes. Targeting video games as a major contributor to these problems is unjustified and not supported by a scientific consensus...

Bersell also writes that such a tax is "constitutionally suspect" and that the proposal would place New Mexico retailers at a competitive disadvantage:
Video games, like other forms of entertainment, are expressive products protected by the First Amendment...

A special tax on physical video game sales would place an unfair burden on store-based video game retailers in New Mexico as they compete against other video game delivery systems that are not subject to the same level of taxation.

New Mexico's KOB-4 has a video report.

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First, giving money to programs doesn't instantly give them attendance. If you charge 1% of video game sales and use the cash to start some kind of outdoors program, what makes you think anyone will join? And if the tax is an incentive to not buy games, that's even worse!

Here's the thing; if we ban video games because kids aren't active, then we should ban everything, even school, so that kids can exercise around the clock. Homework, yes, homework, isn't exercise. Reading, desk jobs, writing, conversations, driving; they all "contribute" to obesity by not being physically demanding. The reality is, video games don't make people fat. They're just one of many activities that don't reduce it.

Second, the academics claim. Again, anything that's not studying doesn't increase grades, but the activity doesn't make them worse either. But there are kids who are in so many athletic activities (sports) that they don't have time to study. Other kids have the time, but just do whatever they feel like instead of studying. These two groups of kids get exercise; they aren't fat; they still get bad grades. Time spent outdoors does not automatically count as knowledge or better school performance.

Third, the ADD thing. I don't think attention deficit disorder is caused by video games.

Also, a 1% tax on televisions is ridiculous. Although it is a fair amount of money when you consider the price of televisions, it doesn't make sense to tax televisions when almost everyone in the country has one.
Targeting video games as a major contributor to these problems is unjustified and not supported by a scientific consensus…

This could be applied to a large number of problems.
I looked at the parent in the video report. If he's at home playing video games while the rest of them are outside, whats the real problem?

I think he should lay down the law and make him go outside.
Next, the internetz tax. Because the internet just causes so much obesity its ridiculous! "Sponsored by McDonalds and your friendly Nanny State"
@ Charlie Brown
"Big Mac's don't make people fat! Video games make people fat! Don't dare try to use logic on us!"
In Ontario, kids could join sports teams, but it'll cost the parents a lot, plus for the summer sports, there's the health problems with the smog that comes from the U.S.
You can join Youth sports teams in the U.S. too
Meh. Regardless of whatever intent this may have, it still reeks of tax-grabbing.
They would have been better of to put a 1% tax on dvds,cds and games, doing this would have at least got them i the door to be turned down later.
In any poor nation, a video game tax would just mean more piracy...
Yes, how horrible, games are keeping kids(mostly age 30 and above) inside of the house, they should go outside and enjoy the outdoors...

DO YOU HEAR ME, AFTER WORK YOU MUST GO OUTSIDE, THE STATE SAYS SO!!!!!


Even if games could be linked to obesity by some study(probably sponsored by Coke or Bigmaks).

Then why put the tax on all games? Surely the games taxed shouldn't include games that are for adults like M rated games???
Also fridges and beds keep kids in the house lets put a tax on those...
Computers and the internetz must be causing some home staying as well...

Hmm, maybe we should just start destroying these horrible influences, lets just start burning books that keep people inside, oh the hell with it, lets just burn all the houses down, I am certain kids would then start going outside...
1% tax..ya...tats fcking nothing..... now make it a 5% tax and its automatically bad....
@ ZippyDSMlee

We are already taxed enough. We get taxed on every little thing.
@Shady8x

your reaction reminds me of something once said by the great Steve Carrel (to the even greater Stephen Colbert).

"You are taking this so personally, you'd think this was a tax on pompous windbags who make me sick, you fatass" (Sorry)

In all serious though it's not THAT big of a deal. They'd probably try to build more parks to get the kids outside or something. (Although some people say this obesity issue is blown out of proportion).
Regardless of whether or not going outside is a good thing, or if obesity is a problem, it all boils down to PERSONAL CHOICE. If I want to sit on my ass, drinking beer, watching TV all day in a mustard stained wife beater tanktop, that should be your own personal decision. For the government to tax your specific form of entertainment reeks of unconstitutionality.

Tax incentives to NOT buy something is not the way the tax system is supposed to be used. What if the government thought that riding bikes was hazardous to your health because drunk drivers can't see them well enough, so they try to tax all cycling equipment by 1% and use the money on drunk driving education? It's the exact same thing. A tax on a benign activity disguised as a way to improve a problem that unfortunately isn't related to the taxed items.
I am not against this tax because I hate all taxes (though I kinda do) but on the principal that it is so targeting and it implies that vidja games are responsible. I have an idea, why not tax twix bars and cheetoes. I mean, when I am going for a walk outside and I see parents who are oversized (wide load?) dragging around their tubby 5-year-old, the lardling is always eating cheetoes with a bright orange stain down the center. I am sure cheetoes are the real and only sole cause of obesity. Tax cheetoes!

*This message sponsored by the US Dept. of Coming To Wrong Conclusions and Totally Simplifying A Major Problem and Our Name is Too Big*
I still don't know why they are trying to levy a tax here, of all places. It's really warm during the summer here and there is almost NO percipitaion of ANY kind. The enviornment here promotes it's goddamn SELF.

New York would be a far better target for this tax. Not that I want it ANYWHERE, but still.

Oh, and I'm glad that KOBTV is still a decent news orginization. that was a pretty good report and they gave gamers their fair share and actually had knowledgeable people talking about gaming. Also, they told us something we DIDN'T know. The law was attempted and rejected already.
games dont make people fat. comsuming bigmacs while playing is what realy happens. the best way to counter this is

EAT LESS! IF YOUR SITTING AROUND PLAYING GAMES ALL DAY YOU DONT NEED 6000 CALORIES A MEAL!

your eating habits should reflect how much phisical work you do

\for example, Amish people eat what most other people consider fatty foods. but they do large amounts of physical labor, so they burn that all off. so eat sensibly and/or burn it off.
While I doubt the unconstitutionality argument offered by Bersell, just going out and winning the political battle works better. Get paleoconservative on their ass and talk about how they're trying to tax gamers for bad parenting or something. Say it's the schools' fault, so take the money from the teachers' union. (I'm a progressive, so don't think I really believe that BS, I just stir the pot...mmmm pot)
[...] Who votes against?! Really, I’m sure if this passes Belgium is the next to follow. Our politicians always love new tax ideas! *grmbls* ;) [...]
Totally unconsidered is the adverse impact that a lack of access to the internet has on children's ability to make intelligent decisions about which outdoor activity would be best for their health.

I propose that we place a 5% tax on all SUVs and RVs, as well as a 2% tax on ecotourism and a 1.5% tax on outdoor and sports equipment, to fund universal high speed internet access for those poor children.

Oh, and let's toss in a 10% tax on any cup of coffee that costs more than $2, since anyone who's drinking $5 coffee probably already has high speed access in the coffee shop.

Damn it, stop laughing. I'm serious!
We shouldn’t use the main cause of obesity to fight against obesity.
thats just lame.
By putting tax on video games we will be encouraging people to buy the games so we could get the tax money.
ok, i'm in a debate competition and my team is saying NO to taxng video games to FUND obesity programs. I'm not sure if this is RIGHT but i really THINK that the GOVERNMENT shouldn't tax cause MOST of the money for the government COMES frome video games, its really popular so when the price INcreases then the PRICE WOULDN"T BE POPULER then what is the government going to do????

if any1 has any advice for the topic plz help. thnx
my debating topic is also we should ban video games to tax funds for obese people. nd ges wat were negative. i think that the goverment shouldnt tax video games because it wnt help it will actually increase the fact that piracy is going 2 b more famous.nd also if u tax video games den u hav 2 tax every other thing that requires doing while sitting down..
if ur agenst dat den giv me a gud enuf reason that will actually make me say, hey wait a minute what dat persons saying is right..

plzz get bak 2me tnx

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Posted 03/16/10 at 10:59am
ZippyDSMlee: JD is jsut pissy cuse he is not getting enough attnetion...hey neither am I damnit!!!!
Posted 03/16/10 at 10:18am
Valdearg: @Cminer: LMAO. I was about to say the same thing. The typical Youtube comment implies they've been at it for years.
Posted 03/16/10 at 10:17am
CMiner: JDKJ: That happened years ago. Look at your average forum poster/youtube commentor/etc for proof.
Posted 03/16/10 at 10:16am
JDKJ: BREAKING: Goodall Institute for Primate Research teaches chimpazee how to type and post to the Internet.
Posted 03/16/10 at 08:39am
ZippyDSMlee: Afirejar:Left you a warm pile in the Venezuela/censorship article. :P
Posted 03/15/10 at 04:05pm
Andrew Eisen: I'm still here and I'm doing a lot of behind the scenes work (as time permits me). But it's true, I've only written one piece under the new GP but if that Facebook/JT bit is the last thing I write for the site, I’d be okay with that.
Posted 03/15/10 at 04:01pm
ZippyDSMlee: I suppose its not inane enough for petes muses*giggles*
Posted 03/15/10 at 03:55pm
PHX Corp: It had the Video Games tag on it, I thought that it had been a video game law that was concerning it
Posted 03/15/10 at 03:54pm
JDKJ: And what happened to "Senior GP Correspondent, Andrew Eisen, reporting from San Diego [and who has a better finger on the pulse of GP's readership than some others]?" Huh? Did he fall victim to the Night of the Long Knives?
Posted 03/15/10 at 03:53pm
Andrew Eisen: No, but my one example was not meant to cover the entire spectrum. Besides, multiplayer is a big part of video games.
Posted 03/15/10 at 03:50pm
Andrew Eisen: PHX Corp - Are you referring to AB 847? I haven't read the bill but the summary doesn't appear to apply to video games.
Posted 03/15/10 at 03:49pm
DarkSaber: 2 mediocre games do not "a big part of video games" make.
Posted 03/15/10 at 03:49pm
JDKJ: I suspect that'll fall victim to the "pass." Wrong side of the fence. It's North Korea we aren't supposed to like.
Posted 03/15/10 at 03:48pm
DarkSaber: Although, following the "MW2 Made Lots of Money" excuse for a story, GP would be hard pressed to justify WHY they passed on it.
Posted 03/15/10 at 03:47pm
Andrew Eisen: DS - Not necessarily. See recent Ubisoft stories.
Posted 03/15/10 at 03:47pm
Andrew Eisen: Zip - Or it will and GP hasn't had a chance in the last couple hours to get to it yet. Or yeah, maybe he’ll pass on it.
Posted 03/15/10 at 03:46pm
DarkSaber: Only if you play multiplayer AE.
Posted 03/15/10 at 03:45pm
Andrew Eisen: Except, aside from following up on an earlier story, GP frequently reports on internet censorship and net neutrality issues (the internet being a big part of video games and all).
Posted 03/15/10 at 03:45pm
ZippyDSMlee: I emailed it in DS, if Venezuela gets covered so should south koera but I gues not :P
Posted 03/15/10 at 03:45pm
PHX Corp: The CA S(Foghorn)heads are at it again, instead of banning M rated video games for children They are going to tax the hell out of them Literally and yhis time Yee aint The one trying to do it
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