SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Taxes, taxes and revenue

Tuesday, May 27, 2014

* I told subscribers about this 11th Hour move last week

A proposed hike in Chicago’s tax on cellphones has surfaced in Springfield — one of a series of last-minute developments as lawmakers rush to pass a budget and take up other business before their scheduled adjournment May 31.

The phone tax, which would apply only to cellphones and not land lines, is being pushed in the Illinois General Assembly by lobbyists for Mayor Rahm Emanuel and reportedly would take the levy from $2.50 a month now to $3.90.

A spokeswoman for the city budget office would say almost nothing about the move, saying only that the current surcharge for operation of the city’s 911 emergency center expires July 1 and “we are working with the General Assembly on an extension bill.” […]

Steve Brown, House Speaker Michael Madigan’s spokesman, confirmed the matter is pending, but “I don’t know that the (tax) numbers have been finalized.”

As of the other day, the mobile phone folks appeared grudgingly willing to settle for a $1 hike. We’ll see where it ends.

The city originally asked for no cap at all.

* In other news

Cook County leaders said Tuesday they’ll offer a plan to the Legislature this week to shore up a pension system expected to go into the red “in a big way” in the decades to come.

But Ivan Samstein, the county’s chief financial officer, could offer few specifics to explain how the county would fund the proposed $146.9 million increase in its contributions during the 2016 fiscal year — other than by trying to “make county government more efficient.”

“You do those things first and then you talk about taxes afterward,” Samstein said.

Tax and fee increases are a last resort in fixing the county’s pension system, he said — but not off the table.

* Meanwhile

For the first time since slot machines began to appear in bars and taverns across the state in summer 2012, video gaming recorded its first month-to-month drop in tax revenue last month. Illinois’ cut of the industry’s profits fell about 2 percent in April from March, records show.

That decrease in revenue amounted to about $300,000 less in taxes paid. And that’s despite the continued rise in the number of video gaming licenses in Illinois, which grew 4.5 percent from 15,667 in March to 16,380 in April.

But individual machines still took in about $106.45 in net income on a per-day basis — above the monthly average of $96.16. And the tax revenue collected last month outpaced February’s numbers by about 19 percent.

The bottom line: Video gaming experienced only its second-best month in April.

It should also come as no surprise that the boat people want lots more restrictions on video gaming establishments to protect their former monopolies.

- Posted by Rich Miller        


10 Comments
  1. - OneMan - Tuesday, May 27, 14 @ 11:40 am:

    The average machine revenue number is a bit of a misnomer if you are going month to month…

    They calculated it by taking the Net Terminal Income and dividing by the VGT Count. The problem is the VGT count is a end of month count along with the total revenue, as machines get added they don’t have a full month of operation but are still used in the monthly average but may (and likely didn’t) operate for all 30 days of the month.

    Also look at the drop off at the Road Ranger in Springfield…


  2. - wordslinger - Tuesday, May 27, 14 @ 11:45 am:

    I wonder how many folks know they pay a monthly tax on their cell phone?


  3. - funny guy - Tuesday, May 27, 14 @ 12:16 pm:

    The $2.50 charge is the 9-1-1 fee–to be used exclusively for 9-1-1 (and homeland security) related costs. It applies to all phones, cell and landline. In addition, the City imposes a 7% telcom tax on all phones.


  4. - Formerly Known As... - Tuesday, May 27, 14 @ 1:05 pm:

    From a WTVO story last month

    == Illinois Ranks in Top Five States with Highest Cell Phone Taxes

    ROCKFORD: Cell phone taxes and fees are on every wireless bill, but in Illinois get your wallet out. “It’s outrageous. It’s outrageous,” said Customer Greg Clark.

    On top of a 5.6% Federal Tax Rate, Illinois slaps on an extra 8.88% State Sales Tax and a 15.81% State Wireless Rate. ==


  5. - lake county democrat - Tuesday, May 27, 14 @ 1:06 pm:

    I’m guessing this is a fairly regressive tax: nearly everyone except the most impoverished has a cell phone these day. The rich guy/gal with the latest iPhone and an unlimited data plan pays as much as somebody with an old flip-phone?


  6. - VanillaMan - Tuesday, May 27, 14 @ 1:08 pm:

    If taxes were too high on cell phones, users would notice and complain. Since they are not - the tax is OK to jack with.


  7. - Product of the 60's - Tuesday, May 27, 14 @ 1:32 pm:

    Oh for the old Ma Bell days…..everyone loved to hate her, now a days a phone is probably considered a god given right by anyone under 30.
    Doubt if many look at their cell phone bill, and if they do, it’s just one tax after another, oh well, gotta have a phone.
    Are we still paying Johnson’s Vietnam War tax that was applied to all phone bills, or did that finally get taken off a few years ago?


  8. - Anon - Tuesday, May 27, 14 @ 1:44 pm:

    Since phone service is considered a basic amenity, this would be another regressive tax, not based upon ability to pay, imposing a higher effective rate on those with lower incomes than those with higher. I’m waiting to hear from opponents of the graduated income tax who argue that an equal tax rate is the most fair.


  9. - Formerly Known As... - Tuesday, May 27, 14 @ 2:03 pm:

    == waiting to hear from opponents of the graduated income tax who argue that an equal tax rate is the most fair. ==

    Just as others are waiting to hear from supporters of the graduated income tax who argue that an equal tax rate for all is unfair.


  10. - Lou Skunt - Tuesday, May 27, 14 @ 4:10 pm:

    Don’t waste your money video gaming at a bar. The payouts stink, and it really feels rigged.


TrackBack URI

Sorry, comments for this post are now closed.


* Reader comments closed for the holiday weekend
* Fracking rules finally unveiled
* Question of the day
* A big IDOT roundup
* Even Steven, for now
* *** UPDATED x1 - Confirmed *** Report: Libertarians file charges
* Big guys dinged a bit, but little guys helped a lot
* Today's photo
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............


Search This Blog...

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

Search the 98th General Assembly By Keyword

          
        * iWatch dates, Sony IFA plans, Moto X+1 materials & more – Pocketnow Daily
        * Samsung Galaxy S5 – After The Buzz, Episode 38 (Video)
        * Dive into OS X Yosemite in Macworld's October Digital Edition
        * AT&T Offers $100 Bill Credit for New Next Line Activations
        * HTC One E8 lands in the US with carrier support
        * Latest Sony IFA teaser offers some mysterious measurements
        * What’s in our bag for IFA 2014: Pocketnow Insider

        * Pinterest Business Analytics: This Week in Social Media
        * HTC Rumored To Be Working On Two New Wearable Devices
        * Lenovo Vibe X2 Images Leaked In All Its Glory
        * Nokia’s HERE Maps Coming to Android, Exclusively for Galaxy Handsets
        * 4.7-inch Apple iPhone 6 To Carry A €750 Price Tag (Rumor)
        * HTC One E8 Available From Sprint for $99.99 On-Contract
        * More Images of the 4.7-inch iPhone 6 Back Shell Surfaces

        * Final stretch of at-bats a gauge for Avisail
        * Wins not representative of lefties' August outings
        * Rough fourth inning dooms Carroll, Sox to defeat
        * Sale locks arms with Scherzer; Bassitt to debut
        * Tigers 7, White Sox 1: Ugly fourth extends ugly stretch
        * Rough fourth inning dooms Carroll, Sox to defeat
        * Abreu already a leader in White Sox clubhouse


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        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

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * GUEST COLUMN: Pat Quinn's Illinois: Where the s.....
        * Gov. Pat Quinn pays tribute to former Mayor Jan.....


        * Engine trouble force cancellation of Amtrak train
        * Ingleside middle school teacher wanted for assault
        * State agency issues long-awaited fracking rules
        * U of I facing scrutiny over job-offer decision
        * Illinois governor grants 38 clemency requests
        * Highway interchange named for former Chicago mayor
        * 30-year prison terms in Decatur home invasion
        * Prairie Farms cuts 66 jobs in St. Louis County
        * Monument dedicated at suburban Chicago cemetery
        * 20-year-old woman guilty in Joliet double murder

        * DNR issues long-awaited ‘fracking’ rules
        * Quinn grants 38 clemency requests
        * IDNR issues long-awaited ‘fracking’ rules
        * Court rules state retirees can stop paying health insurance premiums
        * Governor hopefuls rip each other on hiring, taxes
        * Fracking industry officials donating to Rauner
        * IDNR set to release fracking rules Friday
        * DNR: $1 hunting, fishing licenses for Illinois seniors not ready
        * Renovation of Illinois Supreme Court building completed
        * Vallas: Rauner income tax rollback would cost schools $4 billion

        * American Airlines fares back on Orbitz after deal
        * Meet Bruce Rauner, the big spender
        * Organic grocer pulls plug on plans for old Fox & Obel site
        * Chicago business barometer rebounds in August
        * Long-awaited fracking rules released


        * Aurora couple on O’Hare shuttle bus ‘landed in a pile of humans’ after crash
        * Joliet woman guilty in double-murder; two more to stand trial
        * Ex-Cook County worker charged with fraud in grant program
        * Women at work: Female ministers find obstacles on path to pulpit
        * Feds: Teacher allegedly coaxed teen into taking pornographic pictures
        * Firefighter among two injured in South Chicago fire
        * Renaming interchange a fitting tribute to Byrne
        * Critic of Israel doesn’t belong on Gaza fact-finding panel
        * Speed up DNA testing


        * Police: Man killed in West Side hit-and-run
        * Man killed, 5 hurt in city shootings
        * Quinn grants 38 clemency petitions
        * 2 firefighters on way to work come to aid of driver, passengers in bus crash
        * Fracking approaches final hurdle in Illinois
        * Judge limits Harvey from misusing water cash
        * Burr Oak Cemetery monument dedicated
        * Judge tosses challenge to flame retardant rules
        * Man convicted in Schaumburg hotel robbery acquitted of attempted murder
        * Circle Interchange renamed in honor of former Mayor Jane Byrne


        * Donated Breast Milk Helps Sick Infants
        * DNR Releases Fracking Rules
        * Update From Ferguson Via KWMU's Rachel Lippmann
        * Listen to State Week - August 29, 2014
        * Inspector's Report Reveals Clout Hiring At IDOT
        * 'Belleville' The Movie Is NOT A Documentary
        * Journalist and doctor encourage honest conversations about death
        * Libertarians Survive Illinois GOP's Ballot Challenge
        * Undocumented Immigrants Call For Presidential Orders
        * State Retirees To Stop Paying Health Premiums


        * DNR issues long-awaited ‘fracking’ rules
        * Dave Bender: Hope for the unfinished business of immigration reform
        * Quinn grants 38 clemency requests
        * E.J. Dionne: 2014 and the limits of rage
        * Esther Cepeda: Farmers markets, here I come
        * Rep. Tom Morrison: What Illinois could learn from other states
        * Court rules state retirees can stop paying health insurance premiums
        * Governor hopefuls rip each other on hiring, taxes
        * Fracking industry officials donating to Rauner
        * IDNR set to release fracking rules Friday


        * Ex-Myanmar beauty queen accused of stealing crown
        * JHS homecoming parade entries sought
        * Calhoun holds on for one-point win over Routt
        * Community service eyed for Brooklyn Bridge stunt
        * Friday’s Illinois High School Football Scores
        * Businesses, consumers warned about data breaches
        * COURT DOCKET
        * PORTA/A-C Central drops opener
        * Arendt leads Trojans to win at Pleasant Hill
        * 1K-pound alligator caught in Alabama sets record


        * Benet starts a new streak
        * Mercure helps Lakes heat up
        * Marmion humbles Plainfield Central in 2nd half
        * West Chicago opens with a victory
        * Stevenson looks like the real deal against Indian Trail

        * Schock travels to India to promote humanit...
        * Congressman leads humanitarian trip to Ind...
        * Share Modi's resolve to fight poverty... -...
        * Schock spreading anti-poverty message in I...
        * Rep. Aaron Schock on humanitarian trip to ...
        * Aaron Schock finds a new reason to show of...
        * Lawmakers React to Iraq Journalist Death -...
        * As 145 Arrested in White House Protest, Re...
        * Congressman Schock to stop by LaGrange Loc...
        * Ground Broken On Tenth Street Rail Corrido...

        * Congressional Authors of E-Cigarette Marke......
        * Congressional Authors of E-Cigarette Marke......
        * Congressional Authors of E-Cigarette Marke......
        * Congressional Authors of E-Cigarette Marke......
        * Congressional Authors of E-Cigarette Marke......

        * Putin Hopeful Russia Won’t Lose Right to H......
        * Putin hopeful Russia won't lose right to h......

        * Circle Interchange Renamed For Former Mayor Jane Byrne
        * A 30-year reunion only one year late
        * New London school board takes back its offer to “Dr.” Terrence Carter.
        * Chicagoetry: Sphinx Of Procopius
        * The Beachwood Radio Hour #21: Federal Judge Rules The Koschman Conspiracy Worked
        * Illinois Democrat Leader Says Republicans Would Hire ISIS Terrorists
        * Coalition Hopeful Hydraulic Fracturing is One Step Closer in Illinois
        * Illinois UFO sighting resembled Star Wars ship, Waltonville witness claims
        * Durbin says Obama should bypass Congress on immigration
        * ERA passage could undermine new Illinois pregnant mom law


        * Quinn Refuses to Answer New IDOT Questions
        * IDNR Delivers Revised Rules to Implement Hydraulic Fracturing Regulatory Act - Rules strengthened to ensure public participation, improve transparency, toughen penalties and protect the environment
        * Governor Quinn Proclaims September as “Recovery Month” in Illinois - Encourages people to speak up about mental illness and substance abuse
        * Governor Quinn Dedicates Jane Byrne Interchange - Governor Renames Circle Interchange in Honor of Chicago’s First and Only Female Mayor to Date
        * Rauner Rolls Out Students for Rauner Coalition




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