Illinois Residents Pay The Highest Wireless Taxes In The U.S.
So what's the problem? It's not like Illinoisans pay the highest tax rates in the nation, or the second-highest property taxes, or among the highest gas prices coast-to-coast...oh, wait.
It actually is like that. Okay, so add wireless phone taxes to the list of things that we're overpaying for here in Illinois.
What We're Told We'll Be Paying Monthly For Cell Service Is Only Part Of What's Coming Out Of Your Pocket Later
According to a piece by TaxFoundation.org, in 2021, a typical American household with four cell phones on a “family share” plan, paying $100 per month for taxable wireless service, would pay nearly $300 per year in taxes, fees, and government surcharges, which is a $30 increase from 2020.
We may pay more in wireless taxes here in Illinois, but make no mistake, Americans are paying through the nose all over the country. Estimates place the cost of taxes, fees, and government surcharges on wireless phones at over $11 billion annually.
Taxes, Fees, And Surcharges Are Why You'll Pay A Lot More Per Month Than Advertised
And, according to the TaxFoundation.org report, that is exactly what Illinois residents have to contend with each and every month.
Nationally, these impositions make up a record 24.96 percent tax on taxable voice services. Illinois continues to have the highest wireless taxes in the country, at 34.56 percent, followed by Arkansas (32.04 percent), Washington (31.81 percent), Nebraska (31.36 percent), and New York (30.73 percent).
They go on to point out that since 2008, the average monthly wireless service revenue per subscriber has dropped by 30 percent, from almost $50 per line per month to $35.31. But...during this same period, wireless taxes, fees, and government surcharges have gone up from 15.10 percent to 24.96 percent of the average wireless phone bill.