Illinois Gov. Pat Quinn is quickly backpedaling on a plan to tax downloads of music, movies, ringtones, and books. The proposed tax hike was originally released by the Quinn administration’s Office of Management and Budget (OMB) last week, contained in a long list of potential revenue raises for the state.
In response to rising attention by the media and public opposition, Quinn responded, “We made a list of all the possible things that could happen…I didn't advocate that. I'm not interested in doing that, frankly.” However, last week Quinn’s OMB director, David Vaught, implied the opposite. “We think that’s an area where we’ve not kept up with technological change,” Vaught said.
The list of tax increases containing the $10 million digital goods tax came as legislators and the Governor met last week to discuss the state’s budget. For now, it appears Illinois consumers can rest assured that the digital tax is off the table. Instead, as budget negotiations wear on, Gov. Quinn said he remains committed to raising the state’s income tax by 33 percent.
