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Channahon Telecom Tax Kicks In Early Due To Misunderstanding

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CHANNAHON, Ill. (CBS) — A misunderstanding has led to an earlier-than-planned implementation of a telecommunications tax in Channahon.

As WBBM Newsradio’s Pat Cassidy reports, residents and small businesses in the Will County town will pay a new 5 percent tax on their cell phones, land-line phones, and Internet services, with the exception of Comcast.

LISTEN: WBBM Newsradio’s Pat Cassidy reports


The Channahon Village Board was planning to vote on the tax this week, but found out the tax had already been scheduled to kick in by the Illinois Department of Revenue.

Due to a misunderstanding, the board believed its September vote to send approval for the telecommunications tax to the revenue department was a formality to get things off the ground.

Joe Pena, who is police chief and interim village administrator, said if trustees vote this month to rescind or reduce the tax, the change will not take effect until June 30.

Trustees Debbie Militello and Judie Nash, both of whom voted against sending the September letter of approval, said they were surprised to learn that letter put the tax in place.

Due to a prior contractual agreement, the tax will not apply to Comcast Internet services.

The goal of the telecommunications tax was to help balance the budget.

The board is also considering beginning a local utilities tax.

The Sun-Times Media Wire contributed to this report.