EDC Las Vegas 2014 At Risk Due To Tax Concerns

April 26, 2013

Electric-Daisy-Carnival

EDC Las Vegas 2014 May Not Happen if Nevada Legislature Passes 10% Tax For Mass Gatherings

The Las Vegas Sun reports that Insomniac CEO Pasquale Rotella issued a statement concerning the future of EDC in Las Vegas ahead of the Nevada State Legislatures discussion of the Live Entertainment Tax.

“Insomniac loves doing business in Las Vegas, and right now our primary focus is producing the best show for the fans who will attend Electric Daisy Carnival on June 21, 22 and 23. While we would love to bring another festival to Nevada, we are tabling any further discussions until the state Legislature settles the Live Entertainment Tax issue.”

The tax is a 10% add on to any live entertainment in Nevada. As reported in the article, it’s usually reserved for small venues and concerts with a max of 7500 people. If larger than 7500, a 5% tax is usually applied, but for larger gatherings like EDC, the tax has been exempt. Discussion in the legislature now focuses on eliminating loopholes on this tax or making it simpler for all that it applies to. Since EDC brings so much money to the Las Vegas valley, this move is raising eyebrows as anti-business.

Last year, the festival brought over $200 million dollars of revenue to the city and over 320,000 attendees. Common sense says that the legislature will do everything in it’s power to keep EDC here, but you never know.

As more information comes to light we will update this article.

Source: http://www.lasvegassun.com/blogs/kats-report/2013/apr/25/rotellas-taxing-statement-edcs-return-2014-not-gua/

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