Is Lollapalooza music to the tax man’s ears?

Is Lollapalooza music to the tax man’s ears?

Chicago’s biggest music event brings in millions in revenue for the city, but tickets to the lakefront festival carry the amusement taxes and overnight visitors pay the nation’s highest hotel tax.

From today through Sunday, 115,000 people will flock to Grant Park to watch some of music’s biggest stars. They may not know how much in extra fees they’re paying.

Lollapalooza is one of the most famous festivals in the world and has been a successful economic driver. The event says that last year it generated $480 million for the city’s economy, part of the $3.6 billion it says it has generated for Chicago’s economy since 2010.

A one-day general admission ticket starts at $185 and can cost upwards of $649 for a VIP general admission. For the complete four-day pass, prices start at $439, while VIP passes can cost more than $1,749. Then the Chicago and Cook County amusement taxes are added.     

Chicago’s amusement tax is 9% for any ticketed event, and Cook County has a separate 1.5% amusement tax. Together, these taxes can add $19 to $183 to the cost of a ticket.

Chicago’s hidden fees do not stop there, as the city hotel tax of 4.5% brings in even more revenue. With the nearest hotels starting at $600 a night and going up from there, to as much as $1,450, the Chicago hotel tax adds an additional $27 to $65. The city share is only part of a total 19% hotel tax in the city — the country’s highest.                

This year’s concertgoers will get to see performances by Charli XCX, Lorde and Tate McRae. They’ll get an encore of significant taxes.

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