Bill 884, introduced by senator Coleman Young II, would levy a $3-per-ticket tax in order to fund Detroit's fire, police and medical services
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Chicago city councillors have voted 47–3 in favour of Rahm Emanuel's amusement tax increase, which will see the levy on large venues rise from 5% to 9%
By Jon Chapple on 23 Nov 2017
The cost of many concert tickets in Chicago is set to rise after councillors voted overwhelmingly to increase the city’s amusement tax by 4% in 2018.
Chicago City Council on Tuesday approved mayor Rahm Emanuel’s 2018 budget by a 47–3 vote, setting the stage for tax hikes on venues with a capacity over 1,500, from 5% to 9%. Currently, a 5% levy is imposed on tickets to any “live cultural performance in a for-profit venue.
Emanuel – the brother of WME co-CEO Ari – expects the tax increase to bring in an additional US$15.8 million for the city, reports the Chicago Tribune.
Mayor Emanuel expects the tax increase to bring in an additional $15.8m
Stop Higher Amusement Taxes, a coalition of thousands of Chicago entertainment-industry workers, opposes the rise, saying “higher concert amusement taxes will drive shows to venues outside of Chicago to more tax-friendly local cities – or worse: some shows may bypass Chicago altogether.”
However, venues with a 750–1,499 capacity – previously taxed at 5% – will be exempt, while those with under 750 seats will similarly pay no tax. The amusement tax made headlines last August after it emerged two venues – both of which will now be exempt – were being chased for $200,000 in “crippling” back taxes.
Other tax increases coming into effect on 1 January include hikes on property, water, sewerage and ride-sharing services such as Uber and Lyft.
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