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Tax Hikes A Possibility For EDC Las Vegas

EDC Las Vegas Mainstage

As we’ve covered again and again, EDM is now big business. Events are massive spectacles, with tens of thousands of dancers paying hundreds of dollars for tickets. And, if any one event could fully represent the fusion of the commercial and artistic, the debauchery and glamor of the scene, it would be the Electric Daisy Carnival. Held in Las Vegas, Nevada, since 2011, the festival has been a testament to the stadium-packing abilities of talented producers and DJs from all over the world.

Obviously, admission to a show of this caliber is not cheap, as venue production, booking fees, and numerous other expenses add up quickly. However, what’s rarely discussed is the amount of money per ticket that is charged by the state’s live entertainment tax. In Nevada for instance, shows with an attendance exceeding 7,500 people must charge a 5% tax, and events under 7,500 must charge 10%.

However, the governor of Nevada, Brian Sandoval, is making a move to change those figures. In an effort to increase the funding for state education without increasing business license or property taxation, Sandoval has proposed as much as a 10% increase in entertainment taxation—potentially adding an additional $35.00 to the price of an EDC ticket.

“The revenue streams in this state are changing and we have to have revenue streams that match the new economy we have.” -Brian Sandoval

This is not a new issue for Nevada. Two years ago, the same debate arose, and Insomniac, the company behind EDC, balked and cancelled plans for two additional shows in the state. Considering that Electric Daisy Carnival had an economic impact of over 300 million dollars last year, and that Insomniac’s contract with Las Vegas Motor Speedway expires this year, the move to increase entertainment taxation is a risky one. Insomniac is no stranger to changing locations of events; EDC itself shifted venues numerous times over the past decade or so.

It’s a polarizing issue, and one without an easy solution. It’s you, the fans, that end up paying for the tax hikes—but at the same time, such taxation can yield tangible results for residents. We’d love to hear your thoughts on the manner, and whether or not you’d be willing to pay an additional $35 for the show. Join the discussion on our Facebook, Twitter, and comments section!

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Ben enjoys the blues, covering himself in henna, and Oxford commas.

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