Pekin leaders adopt 1 cent push tax for video gaming

Digital Originals

PEKIN, Ill. (WMBD) — The City of Pekin has found a unique way to make more money.

A push tax of 1 cent will be added to every play on video gambling machines and go into effect beginning May 1, 2022.

It will apply to anyone playing a video game and the resulting money will go into the city’s capital fund to be used for infrastructure.

This means anyone using a gambling device will pay 1 cent extra every time they push a button or pull a lever in Pekin.

At the special meeting, a number of local business owners expressed concern towards the tax, believing it would draw customers away from Pekin.

To ease some concerns, Pekin Mayor Mark Luft said the tax could change in the future, but could never be raised.

“You can go back and decrease it, and you can go back and get rid of it, but in the bill, you cannot go back and raise it. It’s done after tomorrow,” said Luft.

Currently, Pekin receives 5% of the revenue generated by video gambling, the state collects 28%, the gaming communication system 1%, and the remaining 66% is split evenly between the machine operator and the establishment hosting the machine.

With the push tax in play, the city expects to make an additional $32,250-64,500 to use towards infrastructure developments.

Copyright 2021 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Latest Local News

More Local News