Tax Question / All Sports Officials

[pavbref]

Because of the current economy and local community funding issues, a local city is discussing a new regulation on all contractors working within city limits requiring registration with the city and prepaying a 1% business privilege tax. The tax is on all expected revenue for working in the city.
According to our officials organization, this registration will be required of all officials accepting assignments in the city, and the prepaid tax will be based on how many games are scheduled in the city, not how many actually accepted. For example, there are 5 high school football games scheduled, and the tax prepayment will be 1% of all scheduled pay for 5 games even if you only are assigned 1.
In my opionion, this will kill all sports in the city as no one will accept an assignment in the city.

My question is: do any other officials have this type of requirement, and if so, what is the participation rate?

I am a volleyball official, and I currently average 4 -5 assignments in various city schools affected by this proposal, but all sports are involved in this proposal.