How is it not a tax increase?
And fair according to whom>
I agree it should be a state's right.
In the same way that increasing the amount of witholding on your paycheck isn't a "tax increase". It is just another way for the government to collect taxes already due.
If is fair in the objective sense that it makes it easier for the state to ensure that all residents pay the tax that is due, rather than letting some residents get away with breaking the law.
An analogy would be if you found out that the police ticketed all people with republican bumper stickers for going 1mph over the speed limit, but let people who had democratic bumper stickers go 11 miles over the limit before giving them a ticket. You would rightly say that was not fair, that all people should live under the same laws.