Illinois ‘Pole Tax’ Falls Short of Projections
SPRINGFIELD, Ill. – During its first year, a tax on Illinois strip clubs generated less than half of the amount legislators predicted.
The state Department of Revenue’s figures for 2013 indicate the so-called “pole tax” passed in 2012 generated only $380,000 instead of the projected $1 million. Under the law, revenues generated by the tax are earmarked for the Sexual Assault Services and Prevention Fund, which supports rape crisis centers statewide.
The law assesses strip clubs fees based on their size and annual revenues. Alternatively, club owners may opt to pay a flat $3 per customer. Only clubs that serve alcohol are affected.
According to a Department of Revenue spokeswoman, 37 clubs paid an average of $10,000 apiece during 2013. The department does not release the names of clubs or the amount they paid.