Court strikes down strip club tax

Exotic dance clubs shouldn't have to pay it.

That's a state appellate court ruling regarding amusement taxes collected by Chicago and Cook County.

The First District Appellate Court says the tax can't be collected from small strip clubs while lawmakers simultaneously exempt other small venues.

The city and county passed ordinances eight years ago exempting small venues from paying the city tax of 8 percent on tickets and the county's tax of 3 percent.

But they deemed the exemption wouldn't apply to clubs with nude dancing.

The three-judge panel found the ordinances amounted to "content-based regulations" on speech that don't serve a compelling state interest and so violate the First Amendment.

Friday's ruling reverses a lower court's decision in 2005.