After a three-year legal battle, the Illinois Supreme Court recently ruled that Rivers Casino in Des Plaines owes Cook County million in unpaid taxes for 2013, 2014 and 2015. Going forward, the county will collect an additional million in annual tax revenue from casino owner Midwest Gaming. A separate state appellate court ruling also agreed the county has the legal right to tax gambling machines.
Cook County Board President Toni Preckwinkle said, “We are pleased with the Supreme Court’s decision confirming our long-held belief that the county’s tax on video gaming machines is legitimate and lawful. “The revenue generated from the gambling tax will help provide important funding for critical public safety services to county residents.” Rivers Casino spokesman Dennis Culloton said, “We respectfully disagree with the court’s ruling, and we are considering our options.”
In late 2012 the Cook County Board of Commissioners approved a tax on gambling machines. Under the county ordinance, tax decals in Cook County casinos cost $1,000; video poker machines in bars and restaurants are charged $200. Following the approval of the tax, Midwest Gaming sued Cook County in circuit court. During the hearing process, the county agreed it would not enforce the tax or issue non-compliance citations while the case was in court; Midwest Gaming agreed to pay any unsettled taxes per the court’s ruling.
The Illinois Coin Machine Operators Association also filed suit against Cook County regarding the $200 decal tax. However, a state appellate court ruled the county has the right to collect the tax. Michael Gelatka, president of the Illinois Gaming Machine Operators Association and the Illinois Coin Operators Association said the ICOA may appeal the appellate court’s decision. “We have not made a final decision about what we’re going to do next,” he said.
