TAX NEWS - 2010

Illinois Tax: Machesney seniors can sign up for phone tax rebate

MACHESNEY PARK — Low-income residents who are 65 and older can apply for a tax break on their telephone bill.

The village's TeleCom Tax Rebate offers eligible seniors up to $25 a household on the telecommunications tax portion of their bill.

Applications will be available Thursday through Aug. 31.

The program was established as part of a plan to fix roads in the village. The village raised its 1 percent telecommunications tax to 6 percent in 2008. The tax increase and the 1 percent sales tax passed in a February 2008 referendum help pay for road reconstruction.

"The program is a small way to help our low-income senior citizens," village President Tom Strickland said in a news release.

Last year, 18 people qualified and received $260 in rebates.

The tax increase costs a resident with an average monthly bill of $40 about $24 more a year, bringing in more than $580,000 a year for the village. Combined with the 1 percent sales tax, $2.5 million is generated for roads.

The village will tackle six reconstruction projects and will resurface more than 40 roads as part of Build Machesney this year.