Illinois to tax all private boat sales?

SPRINGFIELD, Ill. – A bill that would impose a sales tax of 6.25 percent on all private sales of boats was narrowly passed by a Senate committee of the Illinois State Legislature Wednesday, according to a story in today’s Bloomington Pantagraph newspaper.

Illinois Governor Rod Blagojevich has proposed the tax, which would go into effect July 1, as part of what the newspaper called a “frantic search for revenue” to fill the states budget shortfalls. Blagojevich, who campaigned on a theme of not raising taxes on regular citizens, has described the proposal as a “yacht tax,” but it affects the sale of any kind of boat, except for canoes and kayaks, according to the Pantagraph.

Illinois revenue officials say the boat tax – which would be paid by the person buying the boat – would raise approximately $7 million to go toward plugging the state’s $1.7 billion deficit, according to the article.

• For more of the latest news, click here.
• To discuss this topic with other recreational marine industry professionals, click here.