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September 3, 2025
Report 421 | Memorandum 1181

Evaluating Local-Option Admission Taxes in Michigan Cities

In a Nutshell

  • Detroit is one of the few major cities in the U.S. that does not levy an entertainment/amusement/admissions tax. While this means the city is not taking advantage of a revenue source commonly used by other cities, it also means that the city can learn from the processes and experiences of the others.
  • Depending on how an authorizing state law would define the base and the tax rates authorized, Detroit could yield upwards of $50 million from an admissions tax.
  • Revenue from an admissions tax could be used to enhance city services, diversify the city’s revenue streams, provide property tax relief, and put into a fund that could be used to draw major national events to the city.
Kindly consider a $50 donation for unlimited access to this important report.
We have always made all of our publications, whether in paper or electronic format, available to all without charge. We will continue to provide unrestricted access to every publication in our library. 

To ensure continued free access, we are asking YOU to help with a $50 charitable donation (or what you can afford) to the Citizens Research Council of Michigan TODAY to ensure timely and comprehensive analysis of the issues driving state spending. Donations of any amount are appreciated. Please consider making your donation recurring.
September 3, 2025
Report 421 | Memorandum 1181

Evaluating Local-Option Admission Taxes in Michigan Cities

In a Nutshell

  • Detroit is one of the few major cities in the U.S. that does not levy an entertainment/amusement/admissions tax. While this means the city is not taking advantage of a revenue source commonly used by other cities, it also means that the city can learn from the processes and experiences of the others.
  • Depending on how an authorizing state law would define the base and the tax rates authorized, Detroit could yield upwards of $50 million from an admissions tax.
  • Revenue from an admissions tax could be used to enhance city services, diversify the city’s revenue streams, provide property tax relief, and put into a fund that could be used to draw major national events to the city.
Kindly consider a $50 donation for unlimited access to this important report.
We have always made all of our publications, whether in paper or electronic format, available to all without charge. We will continue to provide unrestricted access to every publication in our library. 

To ensure continued free access, we are asking YOU to help with a $50 charitable donation (or what you can afford) to the Citizens Research Council of Michigan TODAY to ensure timely and comprehensive analysis of the issues driving state spending. Donations of any amount are appreciated. Please consider making your donation recurring.

Stay informed of new research published and other Citizens Research Council news.
Array
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