City Overreaches for Tax Money
How would you like to rent a car in Waukegan or St. Charles, only to be slapped with the 8 percent "transaction tax" that applies to Chicago car rentals?
Brace yourself. With a burgeoning $50.5 million budget gap, Chicago is reaching into suburban pockets. And Enterprise Rent-a-Car has filed a lawsuit challenging the Daley administration's effort to collect the tax from drivers who rent cars in the suburbs.
The suit was filed last week in Kane County after an administrative ruling by the city's Department of Revenue that City Hall will "presume" that all car rentals in the six-county area are subject to Chicago's 8 percent transaction tax.
Hopefully, Enterprise Rent-a-Car wins this and wins big. Then we can find some entity with deep pockets to start attacking the fact that if we shop around for the best car deal in existence and manage to find it over the border in Indiana, the City still demands their cut of a tax on a transaction that takes place entirely outside of their borders.
Will someone please schedule the revolution shortly? We've got weekends coming up.