State’s fee on local sales taxes is generating more money than it expected

A new administrative fee the Illinois Department of Revenue is charging municipalities, counties and regional government agencies to process local sales taxes has generated nearly $50 million for the state during its first eight months of collection….Critics have called the fee a “pass-through tax” on consumers and suggested eliminating the fee or capping how much the state can collect in a year as well. State Rep. Anthony DeLuca, a Chicago Heights Democrat, has proposed legislation to cut the fee in half, but that has not been well-received so far.

“The reason I’m not suggesting a cap on it is because ultimately I want to eliminate it,” DeLuca said. “My goal is to have this as part of the upcoming budget-making process and not as a separate bill, because I can’t get a hearing on it now…” Please click here to read Jake Griffin’s story in the Daily Herald.