Chicago Delays Collection Of Taxes On Re-Sold Bears PSLs

Bears Fans Furious About Tax, Consider It Double-Taxation

The Chicago City government, "at the request of a judge hearing a class-action lawsuit filed by Bears fans," has "agreed to wait for a decision before retroactively collecting" Chicago's 9% amusement tax from 2,700 PSL holders who were not the original owners, according to Fran Spielman of the CHICAGO SUN-TIMES. Bears President & CEO Ted Phillips in an e-mail to all of the team's season-ticket holders said it "appears that the city will: 1) temporarily (suspend) asking PSL transferees to fill out the affidavit asking them the circumstances regarding acquisition of their PSL's and 2) not engage in any billing or collection of any amusement taxes relating to transfer of PSL's until further notice." Chicago Department of Law Dir of Public Affairs Jennifer Hoyle said that the decision to "back off was done 'as a courtesy' to the judge." But Hoyle added, "Our legal position is still the same. We're going to defend the lawsuit. We think we have a strong case." Spielman notes Bears season-ticket holders are "furious about the city's demand because they consider it double-taxation." The 9% amusement tax "already applies to the face value of game day tickets," and so fans are arguing that they are "being asked to pay twice." The lawsuit "seeks to re-coup at least $10[M] worth of amusement taxes paid to the city when PSL's were originally sold" (CHICAGO SUN-TIMES, 6/18).