SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Today’s numbers

Thursday, Apr 17, 2014

Posted by Barton Lorimor (@bartonlorimor)

* A new report by the Public Interest Research Group says businesses that pay taxes in other countries through shell companies costs individual Illinois taxpayers $1,396 a year. For small businesses, that number is $4,588. From the coverage…

Every year, corporations and wealthy individuals avoid paying an estimated $184 billion in state and federal income taxes by using complicated accounting tricks to shift their profits to offshore tax havens. Of that $184 billion, $110 billion is avoided specifically by corporations.

“This is yet another example of why tax reform needs to be more than just campaign rhetoric,” said U.S. Rep. Dan Lipinski, D-Ill., a co-sponsor of H.R. 1554. “Hard-working middle-class Americans and the small businesses that are the future of this nation should not be forced to carry the tax burden sidestepped by others through the use of offshore accounts. I applaud Illinois PIRG for their exemplary work on this issue.”

Illinois can also take measures to reclaim some of the revenue lost to tax havens. Illinois PIRG found that by passing a simple, proven reform already on the books in other states, Illinois could save $108.3 million annually.

“The Illinois number is striking,” said Illinois state Rep. Greg Harris, D-Chicago. “If big corporations only paid their fair share for one year, the state’s operating budget problems could disappear overnight, elementary, secondary and higher education would be fully funded, MAP grant scholarships doubled, home and health services for senior citizens and people with disabilities fully restored, after-school and anti-gang programs tripled, and every overdue bill paid. So many of the troubles that face our state and communities would be wiped out in an instant if these loopholes were closed.”

A full copy of the report is here.

- Posted by Barton Lorimor        


17 Comments
  1. - PublicServant - Thursday, Apr 17, 14 @ 7:05 am:

    ===Illinois PIRG found that by passing a simple, proven reform already on the books in other states, Illinois could save $108.3 annually.===

    Has Rep. Harris introduced a bill yet? I’d like to track its progress…


  2. - PublicServant - Thursday, Apr 17, 14 @ 7:07 am:

    Or does it have to be done on the federal level? If so, I’m sure Boehner and the house republicans will pass it post haste…cough, cough.


  3. - x ace - Thursday, Apr 17, 14 @ 8:12 am:

    CAT


  4. - Grandson of Man - Thursday, Apr 17, 14 @ 8:26 am:

    I don’t see any tax reform of this type coming anytime soon, at least on the national level. There are too many poor and middle class people who are the political foot soldiers for corporations and wealthy individuals who shield their money in tax shelters. These people slam poor folks who get government assistance–many of whom work–rather than criticize and vote against politicians who fight so that the super-wealthy get every government break available.


  5. - Dan Johnson - Thursday, Apr 17, 14 @ 8:40 am:

    I know this is a lazy comment, but Barton could you explain what the reform is that IL can pass and fix the typo from Rep Harris’ quote that IL could save 108 (missing number… Million? Thousand?). I can read the report as well but…you’re the postmaster.


  6. - Anonymous - Thursday, Apr 17, 14 @ 9:07 am:

    The legislature is made of up foxes guarding the henhouse. They are not likely to end the gravy train they get in the way of “extras” from the big boys so we all get to have a harder financial life taking care of and protecting the elite interests. What else is new?


  7. - Walker - Thursday, Apr 17, 14 @ 9:25 am:

    Hate to say it, but PIRG’s reputation for accurate numbers is about as weak as IPI’s.

    This is a big issue, however, and we seem to be afraid to tackle it sensibly.

    The opponents of fixing it will continue the refrain of “everyone will leave the state”, while at the same time saying we can have lower tax rates since “we will close the tax loopholes.”

    Rather than driving everyone crazy with arguments about location, jurisdiction, and where profits are actually made — let’s do something simple like requiring a modest minimum tax paid by every concern over a certain size, operating in Illinois, regardless of where they claim they should be paying, (or not paying)?

    To continue to have extremely successful businesses in Illinois paying us no state tax at all, does rob all of us taxpayers as a group.


  8. - Proud - Thursday, Apr 17, 14 @ 9:32 am:

    Remember the age old “Golden Rule— Ye who has the gold, makes the rules!” We in the US have deluded ourselves that we are different! We romanticize our revolution that was really over the wealthy not wanting to pay taxes to the King of England!


  9. - wordslinger - Thursday, Apr 17, 14 @ 9:45 am:

    It’s amazing how many people by the con that big business and the super-wealthy are over-taxed.

    Pick up an annual report from any publicly traded Fortune 500 company and you’ll see it ain’t so.


  10. - liandro - Thursday, Apr 17, 14 @ 10:38 am:

    Tax reform is long, long overdue. Both sides have a lot of donors, er, I mean “reasons”, that pressure them to privately protect the status quo. They can publicly decry this or that specific problem, but I am not holding my breath for real reforms. To easy to blame the other party and sit on your hands.


  11. - Union Man - Thursday, Apr 17, 14 @ 11:10 am:

    If only!!


  12. - Amuzing Myself - Thursday, Apr 17, 14 @ 11:40 am:

    $108 Million is a far cry from “wiping out” all of Illinois’ budget problems. That quote actually made me laugh.


  13. - Formerly Known As... - Thursday, Apr 17, 14 @ 11:56 am:

    === said Illinois state Rep. Greg Harris, D-Chicago. “If big corporations only paid their fair share for one year, ===

    “If legislators only did their job for one year and passed this reform after so many other states already have…”

    Fixed that for you, Representative.


  14. - Formerly Known As... - Thursday, Apr 17, 14 @ 12:09 pm:

    Although @walker does make a good point concerning PIRG’s reliability when it comes to reputable numbers and projections.

    Then again, look at how revenue projections for Illinois’ “pole tax” on strip clubs compare to the recently released numbers. Or how Alderman Danny Solis’ revenue projections from decriminalizing and ticketing small quantities of marijuana compare to the real numbers.

    It appears quite a few people have problems making accurate projections when it comes to policies they are in favor of.


  15. - lovecraft - Thursday, Apr 17, 14 @ 1:47 pm:

    In the oligarchy this country has become businesses and the richest will never pay their fair share. Instead, the middles class will slowly be bled to death, ushering in a new Gilded Age.


  16. - Lycurgus - Thursday, Apr 17, 14 @ 4:02 pm:

    If the feds would reduce the US corporate income tax rate (35%) to something that is globally competitive, this would be a non-issue. But hey, a lot of people like beating the populist fat cat big corporate tax avoidance drum, so why do the hard responsible work of fixing what’s really broken.


  17. - wordslinger - Thursday, Apr 17, 14 @ 4:19 pm:

    –If the feds would reduce the US corporate income tax rate (35%) to something that is globally competitive, this would be a non-issue–

    C’mon, man. You think anyone’s paying the full freight? What are all those lobbyists doing, then?

    After write-offs and credits, the effective U.S. corporate income tax rate is 13%, 17% when you add state and local taxes, according to the GAO.

    http://economix.blogs.nytimes.com/2013/11/26/effective-corporate-tax-rates/


Sorry, comments for this post are now closed.


* The trend is not our friend
* Duckworth: "I screwed up"
* Rate IllinoisGO's new online ad
* Because... Madigan
* Today's number: 76 percent
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Good morning!
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Google’s new features help developers manage search ads on Play Store
        * NVIDIA recalls Shield Tablet due to fire risk
        * PSA: NVIDIA announces worldwide recall for SHIELD Tablet, overheating battery poses fire risk
        * Stop hackers with Sticky Password Premium [DEALS]
        * DU Speed Booster review: A performance Swiss army knife
        * Invite requests for OnePlus 2 reaches 1 million within 72 hours
        * Microsoft wins case against Google in patent royalty battle

        * Key White Sox fueled key winning streak
        * White Sox winning streak stalls at seven
        * Short of perfect, White Sox happy with trip
        * Red Sox 8, White Sox 2: Wright guy beats right guy
        * Rodon gets first look at Yankees in series opener
        * White Sox winning streak stalls at seven
        * White Sox get Sellers from Bucs

        ...............


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        July 2015
        June 2015
        May 2015
        April 2015
        March 2015
        February 2015
        January 2015
        December 2014
        November 2014
        October 2014
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * Joliet's penny parking meters arrive in Sycamore
        * Cardiologist details troubles at Chicago-area VA hospital
        * SIU authorizes teachers to work despite state budget woes
        * Chicago announces plan to limit O'Hare airport noise
        * South Carolina senator backs Mark Kirk's re-election bid
        * Blagojevich attorney says he'll ask full court for rehearing
        * Jenner Olympic Torch fetches $24,000 at auction
        * After raising taxes, Cook County seeks raises for workers
        * Indiana convention's CEO calls for broader LGBT protections
        * Ex-US Rep. Reynolds scrambles to meet bond conditions

        * Illinois' health insurance co-op among those struggling
        * Court ruling helps some child care providers amid ongoing state budget impasse
        * Rauner, AFSCME reach another contract extension; governor vetoes bill to prohibit strike, lockout
        * Court ruling helps some child care providers
        * Private employers now can give hiring preference to veterans after Rauner signs law
        * Private employers now can give hiring preference to veterans
        * Illinois House votes to reject pay raise; Senate vote expected next week
        * Statewide tourism numbers up, although most Springfield historic sites see decline in visitors
        * Rauner signs bill broadening eligibility for food stamps
        * Statewide tourism numbers up, although most Springfield historic sites seeing decline in visitors

        * UPS to buy Coyote Logistics for $1.8 billion
        * Presidential candidate backs Kirk for re-election
        * The secret to an energy-efficient home? No, it's not solar
        * What are Rush's plans for Malcolm X College site?
        * Here's the woman who will be running Chicago's biggest private company


          * State police: Man shot while riding in van on Eisenhower
          * Lollapalooza liquor gardening: fact or fiction?
          * Chicago plans to cut O'Hare noise by rotating runways at night
          * Woman killed, 5 injured when car flips over on Eisenhower
          * Bizarre scene unfolds at cop killing trial as defendant takes stand
          * Almost 6 acres of land added near Fullerton Avenue Beach
          * Man dead, at least 18 hurt in shootings
          * Blagojevich's lawyers to ask full court to rule on appeal
          * Police: Man given second chance was killed while trying to rob man
          * Police officer injured while running after shoplifting suspect


          * Blagojevich attorney says he'll ask full court for rehearing
          * E.J. Dionne: The price Boehner pays
          * Charles Steele, Jr.: EPA putting affordable energy in jeopardy
          * Illinois' health insurance co-op among those struggling
          * Catherine Rampell: One job government does better
          * Tom Kiernan: Wind could power Illinois' economic future
          * George Will: With Iran deal, Obama makes bad history
          * Court ruling helps some child care providers amid ongoing state budget impasse
          * Rauner, AFSCME reach another contract extension; governor vetoes bill to prohibit strike, lockout
          * Private employers now can give hiring preference to veterans after Rauner signs law


          * Favorable weather continues across the Corn Belt
          * South Carolina senator backs Mark Kirk's re-election bid
          * Rain doesn't yield big year for Illinois crop dusters
          * Blagojevich attorney says he'll ask full court for rehearing
          * Germany shelves Nazi crimes probe of U.S. man
          * Higher wages a surprising success for Seattle restaurant
          * Beijing selected to host 2022 Winter Olympics
          * Zimbabwe: American lion killer's extradition being sought
          * News-Gazette's Tom Kacich 7/31/2015
          * VG superintendent: 'It's time to move on'


          * Returning emigrants could overwhelm Portugal, analysts say
          * Exxon profit falls by half but production rises
          * UPS buying Coyote Logistics for $1.8 billion
          * Marvel at madness: Things to know about Boston's Comic Con
          * Russia's Sochi mooted as host for 2024 Olympics

          * House lawmakers overcome hurdle on key tra...
          * Rodney Davis talks funding with Bloomingto...
          * The agency that fought Illiana gets a new ...
          * Rep. Dold takes educational cruise down Ch...
          * Lawmakers decry high turnover rate of VA h...
          * CBD Oil, and politics
          * Simon considering state Senate bid
          * Killer Congressman Tom MacArthur trying to...
          * Shutdown? State may not notice
          * Rep. Bob Dold

          * IL Senator urges EPA to protect towns alon......

          * Cardiologist details troubles at Chicago-a......
          * South Carolina senator backs Mark Kirk's r......
          * South Carolina senator backs Mark Kirk's r......
          * Cartoon: Mark Kirk's loose lips could sink......

          * Calling Out The Tollway Pastor
          * The [Friday] Papers
          * Ives' commentary stirs AFSCME activity
          * State forbids pastors calling homosexuality 'sinful'
          * Chicago’s Progressive Caucus offers revenue solutions, not pennies from heaven.
          * Union retirees do not scab, Bruce Rauner.
          * Kirk numbers falling, poll shows; Clinton, Walker lead among Illinois voters
          * Conservative Women in Popular Culture
          * Paid Influencer Opp: The Flaming Lips, Patti LaBelle, Kings of Leon + Josh Groban To Appear On New Ovation Show
          * A Good Old-Fashioned Tastee-Freez Commercial


          * Safety Belt Use in Illinois Reaches 95.2 Percent - Drivers and front seat passengers are buckling up more than ever before in Illinois
          * Governor Takes Bill Action
          * IDOT Seeks Ownership of Arsenal Road in Will County - Walter Strawn Hearing Request Withdrawn, Work on Long-Term Solutions Continues
          * Governor Rauner Signs Veteran Preference Bill
          * Governor's Office Statement on Passage of HB 576




              Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller