by Michael C. Lowe | October 19, 2011

Chicago Mayor Rahm Emanuel has included a 1 percent hotel tax increase in his proposed 2012 budget in an effort to reduce the city’s $635.7 million deficit, according to Businessweek. The tax hike would bring the city’s total hotel tax to 16.4 percent, putting the city on the same level as Los Angeles and New York. On average, the rise would increase stays by about $1.78 per night. According to the Chicago Sun-Times, the mayor said that approximately $1 million of the estimated $14 million that would be generated would be used to promote McCormick Place.