Back in May I posted about Illinois’ proposed strip club tax. We can now remove ‘proposed’ as the tax was signed into law; the tax goes into effect on January 1st.
The tax of $3 per patron will go to support Illinois’ 33 rape crisis centers. I’m not opposed to funding of rape crisis centers (on the contrary, they’re necessary). What I don’t like at all are “sin” taxes — taxing activities that legislators don’t like. All taxes are passed onto consumers — all of them. While the goal of this tax is quite laudable, it will likely cut patronage. As Alan Greenspan said, “Whatever you tax, you get less of.”