Illinois Lawmakers Propose $2.7B Sales Tax on Haircuts, Netflix, Uber, and More

Illinois lawmakers are considering expanding sales taxes to include a variety of services like streaming platforms, rideshares, gym memberships, car repairs, and more, in an effort to generate $2.7 billion statewide. The goal is to help Chicago’s struggling transit system and add funds to government budgets.

State Rep. Ryan Spain, R-Peoria, warns that Illinoisans may soon be paying sales taxes on a range of items, from Netflix to beauty salons. The money collected would be divided among the state, county governments, municipal governments, and the Regional Transit Authority (RTA).

Chicago residents currently pay a tax on streaming services, but the proposed expansion would impact local businesses already facing high corporate taxes and property taxes. This move could potentially drive more residents out of the state in search of more affordable living options.

Lawmakers claim that by increasing taxes, they are avoiding necessary structural changes to save money in the long run. Critics argue that relying on constant tax hikes is not a sustainable solution.

To voice your opinion on the proposed $2.7 billion sales tax expansion, reach out to your state lawmakers and make your thoughts heard. Let them know where you stand on this issue.