City Department of Administrative Hearings found that Defendant tour boat operator was not required to collect and remit amusement taxes from 2006 to 2012 because the amusement tax ordinance allowing for City's levying of such taxes was preempted by 33 U.S.C. 5(b) as amended by Maritime Transportation Security Act. As Defendant's vessels were operating on federal waters during 2006-12, they and their passengers and crew were not subject to nonfederal taxation (such as the City's amusement tax) under section 5(b) during that time. Defendant showed that its payment of licensing fees in 2012-13 was related or relevant to tour charges that created the amusement tax liabiliyt, as patrons would have been unable to participate in the amusement in absence of its payment of licensing fees. Thus, its patrons were entitled to take the amended credit in 2012-13.(HOFFMAN and HALL, concurring.)
Illinois Appellate Court
Civil Court
Taxes