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Michigan House Votes to Double Casino Taxes

14 May 2004

MICHIGAN – As reported by the Detroit Free Press: "Michigan's House of Representatives sprung a surprise on Detroit's casinos Wednesday, voting by a required three-quarters vote to double the amount of taxes the casinos pay to the state and city from 18 percent to 36 percent.

"A spokesman for the Greektown Casino predicted that if the measure becomes law, no new permanent casino hotels will be built in Detroit. The new tax structure would make Detroit's casinos the highest taxed in the country, when other taxes and fees they pay are taken into consideration, said Roger Martin, spokesman for Greektown.

" …[Howard Hughey, spokesman for Mayor Kwame Kilpatrick,] said the proposed tax increase is 'a slap in the face to Detroit' because it gives most of the increase to the state.

"The House also passed a resolution urging Congress to tax state Indian casinos 36 percent. Most Indian casinos in Michigan pay no state or federal tax now.

"…The measure must still pass the Senate and be signed by Gov. Jennifer Granholm…"

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