Residents of Westfield, Indiana, are to benefit from $240,000 in food and beverage tax money that had previously been sent to nearby Carmel as a result of ZIP Code confusion.
ZIP Code verification shows that many businesses in northern Westfield have ZIP Codes that officially place them in Carmel despite not being located in that town, leading to their tax dollars being sent to Carmel instead for the past four years, reports IndyStar.com.
The $240,000 will be returned soon, followed by an additional $15,000, while Westfield should receive around $5,000 extra each month in food and beverage taxes now the issue has been sorted.
Officials in Westfield plan to campaign to have the ZIP Codes in the affected businesses changed to avoid similar problems in the future.
Westfield residents are often confused about which city's emergency services they can access, while businesses sometimes have problems getting address data from residents in the right city to send promotional material to.
A similar problem exists in Indian Trail in North Carolina, which has five different ZIP Codes, according to the Charlotte Observer.