Report: Illinois tops the nation in cell phone taxes

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ROCKFORD, Ill. (WIFR) -- When it comes to cell phone taxes, Illinois tops all other states.

According to a report from the Tax Foundation, Illinois residents are taxed on their cell phone service more than users from any other states.

Illinois has the highest wireless taxes in the country at 31.2 percent. This marks the second straight year Illinois had the highest wireless tax in the nation.

For a typical Illinois family paying $100 a month for four cellphones, the average costs were $374 for cell phone taxes, fees and surcharges. The national average was $260.

The report cites there are disparities between the tax rates imposed on wireless service to the combined state and local sales tax rate in each state. Illinois tops all states in this regard, imposing wireless taxes (22.1 percent) that are more than twice as high as sales taxes (10 percent).

Illinois also has a special state communications taxes with a local add-on, which may result in rates typically two times higher than the general sales tax rates.

Washington and Nebraska's wireless taxes were the closest to Illinois at roughly 28 percent. Idaho and Oregon had the lowest taxes, both below 3 percent.