-By Lisa Volpe
As the Illinois legislature continues to meet in Springfield with no state budget on the books, there are some who want to implement a new tax on satellite television customers. This is a discriminatory tax that’s perpetually suggested. The bottom line is that the cable industry wants to impose a satellite tax to make it less attractive for consumers.
The idea proponents are floating is to place a new 5 percent tax on every subscriber’s bill for no other reason than to suppress the satellite industry’s efforts to compete with cable.
Lawmakers on both sides of the aisle see this tax increase for what it is and have repeatedly rejected it. Since 2009, the cable industry has tried to pass satellite tax bills 53 times in 28 states – and state legislatures across the country have debated and rejected these new consumer taxes time and again. The reason is simple: satellite taxes discriminate against consumers who chose a wireless alternative to cable for their television.
Cable companies in Illinois pay rent – known as a “franchise fee” – to cities and towns for digging up public roads and for hanging wires. The cable industry somehow thinks satellite consumers should pay a tax simply for providing a competing service.
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Springfield Needs to Stop This Unfair Satellite Tax”