KENDALLVILLE, Ind. (AP) _ A northeastern Indiana city's proposal to require a $5 permit for garage sales isn't setting well with residents who say it would be an intrusive tax on free enterprise.

Kendallville City County Councilman Jim Dazey presented the proposed ordinance Tuesday night, saying it's in response to complaints about homeowners running continuous garage sales.

The News-Sun reports the proposal includes requiring a permit and a $5 permit fee for a garage or yard sale and limiting each permit holder to three such sales a year.

Three residents told the council the government shouldn't regulate garage sales.

Kendallville resident Steve Parsons said the permit fee is a tax that's not needed, while resident Tony Martinez says some people have garage sales because they need the money.