SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
To subscribe to Capitol Fax, click here.
11th Hour tax hikes proposed

Thursday, May 31, 2012

* Subscribers know a bit more about this fight

A Senate committee approved a 5 percent tax on satellite television service on Wednesday, legislation Democrats said would put services like DirecTV and Dish Network on the same competitive playing field as cable television and raise money for education.

The legislation passed on a 10-4 vote, with state Sens. David Luechtefeld, R-Okawville, and John Jones, R-Mount Vernon, joining Executive Committee Democrats in voting “yes.” […]

Supporters of the legislation argued that since consumers have to pay a 5 percent franchise fee if they are cable customers, satellite customers should have to do the same. But a representative of DirecTV and Dish said the franchise fee is different from the tax approved by lawmakers. […]

“Heaven help the taxpayers. We have 27 hours left. How many more taxes can we impose,” [Senate Republican Leader Christine Radogno] said, alluding to a measure passed by the committee earlier that would make offshore oil captured by oil companies taxable, legislation Democrats said closed a tax loophole.

The Democrats said the TV tax proposal would raise $75 million. The satellite TV guys say that number will be far lower.


- Posted by Rich Miller        

  1. - Yellow Dog Democrat - Thursday, May 31, 12 @ 9:53 am:

    I never thought I’d say this, but:

    “Go Comcast!”

  2. - How Ironic - Thursday, May 31, 12 @ 10:06 am:

    Dislike. Then again I’m a subscriber of DirecTV.

    But I would have to ask are they similar? I don’t really understand what a franchise fee is, and if DirecTV customers are under that umbrella.

  3. - JustaJoe - Thursday, May 31, 12 @ 10:18 am:

    I don’t see a reason (justification) for the tax, other than to just raise money….from us, the taxpayers. Unlike cable and telephone or even fiber optic cable, satellite TV is not delivered to the consumer via the public right-of-way (unless you count the airwaves, which are federally regulated. Does the state tax the consumer for AM & FM radio?

  4. - Judgment Day - Thursday, May 31, 12 @ 10:20 am:

    So, let me get this straight.

    Comcast is not being competitive with the prices being offered by DirecTV and Dish Network, so the IL legislature want to put a specific tax on them to (a) allow Comcast to keep charging outrageous prices for their services; and (b) Gouge the taxpayers one more time.

    Got to give the Comcast lobsters credit for pulling this scam.

  5. - Anonymous - Thursday, May 31, 12 @ 10:21 am:

    Once I had satellite TV and radio. Once I had cable TV. Once I had a landline. Once I smoked.

    I don’t do any of those things anymore, because I can’t afford them.

    I didn’t stop them because of the taxes. I stopped them because I was out of work and broke.

    Now I watch broadcast TV. Without cigarettes.

    Levy all the new consumption taxes you want. It doesn’t matter. I’m not paying them now, because I’m not consuming.

    Let me put it this way. If there’s a point of diminishing returns from new consumption taxes, I’m already there.

  6. - b - Thursday, May 31, 12 @ 10:22 am:

    Franchise fees are what cable companies pay to a municipality that allows them to dig trenches, dig up sidewalks, etc. to bury their cable lines. According to Satellite people, courts have upheld that franchisee fees are “rents” and not taxes. Since satellite tv, uses ,well, satellites, they don’t have to pay franchisee fees because they are not laying their cable all over. This is about cable trying to stick it to a competitor, and they apparently have a willing accomplice in the GA.

  7. - Chris - Thursday, May 31, 12 @ 10:46 am:

    “This is about cable trying to stick it to a competitor, and they apparently have a willing accomplice in the GA. ”

    Yep. It’s a total anticompetitve farce.

  8. - 332bill - Thursday, May 31, 12 @ 10:48 am:

    The only tax on my comcast bill is an 8 cent FCC fee.

  9. - former WRMNpolitics - Thursday, May 31, 12 @ 10:48 am:

    How about the legislature passing a law that would allow the state and local governments to grant franchises of space between the ground and ionisphere. This would create a new revenue source and potentially allow for the collection of “revenue enhancements” for the use and consumption of air.

  10. - OurMagician - Thursday, May 31, 12 @ 10:51 am:

    $75 million is a pie in the sky number. Interesting that the Republicans vote for this but not a cigarette tax? WWGD?

  11. - Hank - Thursday, May 31, 12 @ 10:54 am:

    Does the state tax the consumer for AM & FM radio?

    Not yet, but sign back on the CapFax at 11:59PM tonight to find out!!

  12. - Rich Miller - Thursday, May 31, 12 @ 11:03 am:

    ===Does the state tax the consumer for AM & FM radio?===

    It’s kinda tough to tax a service that is free. Last time I checked, satellite TV service was not free.

  13. - Colossus - Thursday, May 31, 12 @ 11:11 am:

    Booooooooooooooo. Where’s all the talk about government picking winners and losers?

    I think Anon@10:21 makes a very good point about diminishing returns on consumption taxes, though that’s tangential to the badness of this bill.

  14. - Allen Skillicorn - Thursday, May 31, 12 @ 11:44 am:

    I saw cut the 5 percent franchise fee.

  15. - vole - Thursday, May 31, 12 @ 11:49 am:

    “assuming that any legislators actually read the bill and objected to this already”
    I meant didn’t object to this already.

  16. - Abu Iskandr - Thursday, May 31, 12 @ 11:51 am:

    Next up: taxing Apple TV/Google TV/Roku/Hulu/Nextflix users

    The British just remove all of the pretense and tax the television sets themselves (about $170/set per annum tax). Of course, a bit of that goes straight to the Beeb.

  17. - FedUpAlready - Thursday, May 31, 12 @ 12:04 pm:

    Next up from the IL Democrats… a 45 cent tax on each email and text message sent. Hey, folks that use snail mail have to pay that on stamps, so its only fair!

  18. - vole - Thursday, May 31, 12 @ 12:09 pm:

    Do I need to mention that a $6.00 per year annual sticker will be required on inner tubes and float tubes as they are included in the list of non powered watercraft that will be subject to annual stickering as required in the DNR relief bill, SB 1566? I sheesh you not! I just reread the bill, it is still in there. Just wonder if this will apply to the inner tube carrying the cooler and cold ones too. I see the rationale but not the rational.

  19. - vole - Thursday, May 31, 12 @ 12:12 pm:

    “per year annual” sticker

    also too

  20. - Robert - Thursday, May 31, 12 @ 12:14 pm:

    This could be the start of some fun budget solutions. Go to companies that spend a lot on lobbying and ask them what tax they’d like to see against their smaller competitors. Enact that tax. Then go to smaller competitors, ask why it isn’t fair, and ask them how to best stick it to the original big company via another tax.

  21. - Opportwice - Thursday, May 31, 12 @ 12:37 pm:

    Government’s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it. –Ronald Reagan

  22. - inker - Thursday, May 31, 12 @ 4:57 pm:

    One thing as a suggestion would be that our lawmakers have not considered is toliet paper. We do not tax ink or paper for newspapers but they could tax toliet paper use and monitor for every Illinois citizen.
    I hope our legislators are all proud of their session accomplishments. Come November they need to go.

  23. - wishbone - Thursday, May 31, 12 @ 9:44 pm:

    “I don’t see a reason (justification) for the tax, other than to just raise money…”


Sorry, comments for this post are now closed.

* AG Madigan wants federal civil rights probe of CPD
* Another one?
* *** LIVE COVERAGE *** Leaders' meeting
* Chicago GOP cries foul over Democratic interference
* *** UPDATED x1 *** Rauner rejects latest refugee offer
* "At some point, however, deadlock will take its toll"
* Question of the day - Golden Horseshoe Awards
* *** UPDATED x3 - Sneed: Gone *** Gone?
* *** UPDATED x1 *** Springfield's Rauner primaries
* Today's meeting primer
* Comptroller will make full December pension payment
* Caption contest!
* *** UPDATED x2 - Cable buy deets - Duckworth says Kirk acts "how enemies like ISIS want us to act" *** Mark Kirk uses Syrian refugee issue in new attack on Duckworth
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's blog posts

Visit our advertisers...







Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

* Samsung Galaxy S6 Active survives multiple slap shots
* Okay, so when will the Galaxy S7 launch?
* Omate Rise is a smartwatch with 3G support for only $200
* Chrome updates pick up better Data Saver on Android, drops notification center
* ASUS rolls out pretty in pink ZenFone Selfie Limited Edition
* Google Santa Tracker is back again with VR support
* Moto X Pure Edition meets up with Android 6.0 soak

* Alex Avila wants to play, and against the Tigers
* Avila eager to wage 'friendly' AL Central rivalry
* Non-tender deadline looks familiar for White Sox
* Detroit Tigers make AL Central's first big splash with Jordan Zimme...
* South Side Sox' SB Nation MLB Awards voting results
* Starting Pitcher Rankings: Chris Sale and Jose Quintana maintain st...
* Scouting profile: Adam Engel


Main Menu
Pundit rankings
Subscriber Content
Blagojevich Trial
Updated Posts

December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005


RSS Feed 2.0
Comments RSS 2.0


* Rauner, Democrats hold 1st meeting in months on.....
* Leaders Meeting: They Came, They Spoke, They Di.....
* Anticipated Meeting Held Between Rauner, Legisl.....
* Rauner Rejects White House Compromise On Syrian.....
* Brown: State budget summit lives up to buildup .....

* Congressman says he won't vote for Alvarez in next election
* Rauner, Democrats hold 1st meeting in months on state budget
* The Latest: GOP leader criticizes Democrats' spending
* Man charged in library knife attack to get mental exam
* Mitsubishi plant in Normal ends production
* Interim chancellor: Illinois football needed stability
* 1st-term Belleville alderwoman Schmidt dies
* 2 candidates challenging US Sen. Mark Kirk in GOP primary
* Aurora rapist gets 6 years for failing to report new address
* EXCHANGE: Kids get peek at work of veterinary clinic

* U of I index shows economic growth despite state budget deadlock
* Rauner, legislative leaders agree to meet again soon
* Rauner, Democrats hold first meeting in months on state budget
* U of I index shows growth despite state budget deadlock
* Rauner, Democrats hope for best with budget summit
* Syrian refugees become issue in Illinois Senate race
* Cities, counties demand action amid Illinois budget mess
* Two file to run against Rodney Davis as candidates rush to beat Monday deadline
* Candidates rush to beat Monday filing deadline
* Judge orders Illinois to pay home health workers' insurance

* Vance Publishing to sell off business
* Vance Publishing to sell off businesses
* Lisa Madigan asks for U.S. probe of Chicago police
* Iconic Lakeview store The Alley closing
* Rauner, top lawmakers meet, but don't appear to get much done

* Patrick Kane extends streak but Hawks lose to Wild
* WATCH: Patrick Kane whiffs on shot, scores anyway to extend point streak
* Patrick Kane extends point streak to 20 games
* Mihalopoulos: Murky CPD order on use of force could seal Van Dyke’s fate
* Brown: State budget summit lives up to build-up — unfortunately
* Brown: State budget summit lives up to buildup — unfortunately
* Sweet: Kirk unleashes attack ad on Duckworth
* Patrick Kane named NHL’s first star of the month
* Sneed: Garry McCarthy blindsided by firing
* History of Chicago top cops facing heat

* River search ends for missing man but police now looking on land
* Emanuel dismisses top cop Garry McCarthy as pressure for change built
* Dash-cam video of another fatal shooting by Chicago police is sought
* West Englewood shooting wounds 1
* Man charged with U. of C. threat released to mother's custody
* Interim Chicago police superintendent is 29-year veteran of force
* Online threat made against Somonauk High School
* After McDonald killing, Emanuel tries to buy time with police task force
* Ventra app gets first big test among Metra commuters
* 'Water recovery operation' underway as search for missing McHenry man continues

* U of I index shows economic growth despite state budget deadlock
* Their View: Government 'of, by, for the people' a thing of the past?
* Catherine Rampell: Young fogies: Modern illiberalism is led by students
* Andrew Spiro: Supreme Court case would weaken workers' rights
* Michael Gerson: When hope begins
* E.J. Dionne: The United States of contradictions
* Rauner, legislative leaders agree to meet again soon
* Syrian refugees become issue in Illinois Senate race
* Cities, counties demand action amid Illinois budget mess
* Kathleen Parker: The pathology of Trump-itis

* UI roundup: Ferguson among league picks
* Bowl fate will be known Sunday
* Asmussen: By George, I think he's got it
* State Farm gets glowing reviews
* Tate: It's time for a fresh start
* Tuesday's highlights: LeRoy's Chastain scores 43
* Council OKs settlement in suit over police use of force
* On campus: Blaase, Lee among standouts
* Athletes of the Week: Pate and Cribbett
* County facilities chair: Board needs to discuss seeking tax increase

* Naperville budget to cost average homeowner $255 more
* Barrington student charged as adult over gun at school
* Snow likely to slow Wednesday morning commute
* Emanuel fires McCarthy; Lisa Madigan calls for federal probe
* Mount Prospect police sergeant could lose job after guilty plea

* House lawmakers overcome hurdle on key tra...
* Rodney Davis talks funding with Bloomingto...
* The agency that fought Illiana gets a new ...
* Rep. Dold takes educational cruise down Ch...
* Lawmakers decry high turnover rate of VA h...
* CBD Oil, and politics
* Simon considering state Senate bid
* Killer Congressman Tom MacArthur trying to...
* Shutdown? State may not notice
* Rep. Bob Dold

* Senator Durbin Statement on Dismissal of C......

* Kirk unleashes attack ad on Duckworth - Ch......

* The BIG meeting finally happens, although little of significance occurred
* The Lost Benefit Of The Doubt...
* If Anita is still running on primary day...
* 200 Cars Towed On First Night Of Winter Overnight Parking Ban
* Random thoughts.
* CPS school co-location would only save the cost of one CPS area position.
* McCarthy Fired From Chicago Police Chief Post
* Op-Ed: Clean Water Can’t Wait
* Sunday posts, pics and tweets.
* CPS Proposes List Of School Closings, Consolidations As CTU Preps Strike Vote

* Emergency Management Officials, National Weather Service Encourage Winter Preparedness - November is Winter Weather Preparedness Month in Illinois
* Keep Your Family Safe This Winter - November through February are leading months for carbon monoxide related incidents
* Governor Takes Bill Action
* Illinois Department of Labor Director Hugo Chaviano Awards Governor’s Award for Contributions in Health and Safety to the Illinois Refining Division of Marathon Petroleum Company LP
* State Regulator Elected Treasurer of Interstate Medical Licensure Compact

Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller