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.


* Question of the day
* Rasmussen: Quinn up by 2
* Stop the partisanship on both sides, please
* Quotables
* *** UPDATED x1 *** Durbin vs. Oberweis react
* More new TV ads
* Get ready for "Bloodtober"
* DCCC defies DC expectations, runs ad attacking Davis
* Today's assignment
* Rate Quinn's new ad: "Washington"
* SUBSCRIBERS ONLY - Supplement to today’s edition: Crosstabs and TV ads
* 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

          
        * Doublie Spices Up Your Selifes With Homemade Stickers And Celebrities
        * OS X Yosemite is almost ready for its close-up as Apple releases GM candidate
        * Apple Watch leans on the iPhone for app management and heavy lifting
        * Sony unvveils new marketing campaign for Xperia Z3, Z3 Compact
        * WunWun, The Service For On-Demand Anything, Revamps Logo In Time For San Francisco Launch
        * Galaxy Note 4 gets its own “gapgate scandal”
        * OnePlus One Review – Not quite a flagship killer, but great nonetheless

        * Google releases, open sources tools for linear optimization
        * iOS 8 Bug Causes "Reset All Settings" to Erase iCloud Drive Documents
        * Moto 360 Back In Stock For A Limited Time
        * Facebook launches EMEA Client Council
        * Microsoft Unveils Windows 10, Which Will Run All its Devices
        * Google’s Orkut shuts down today. Farewell to Brazil and India’s former favorite network
        * Prioritize Your Email with Computer Message Log Labels

        * Anderson, Edwards prospects to watch in AFL
        * Manager notes: How Robin Ventura and Chris Sale get along
        * Voting underway to decide Hank Aaron Awards
        * Development of young core in '15 can define Chicago's future
        * Improved White Sox take important step in 2014
        * September call-ups report card: position players
        * Ushering in the world after Paul Konerko


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

        Archives
        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


        * Jeb Bush talks education for Arkansas GOP hopeful..
        * Topic matches for "homeless"..
        * Illinois Community Leaders Deliver More Than 20.....
        * Public Interest Group Urges Against 'Wasteful S.....
        * Washington Mayor supports Quinn in new ad..
        * U.S. prosecutor lifts hold on hearings into Qui.....
        * Quinn Oct. 6 fundraiser to honor his industry s.....


        * Panel plans to resume anti-violence program probe
        * Illinois measure would give victims more rights
        * Chicago court hears arguments Holocaust case
        * Quinn touts first year of Affordable Care Act
        * USDA: Illinois corn harvest continues lagging
        * Judge to give verdict Oct. 8 in Joliet murder case
        * FBI: Chicago man threatened beheadings at SIU
        * President Obama headed home to Chicago this week
        * Illinois-owned planes to be sold in online auction
        * Steamship wreck from 1926 found in Lake Ontario

        * Lawmaker panel plans to resume anti-violence program investigation
        * Quinn touts first year of Affordable Care Act
        * State-owned airplanes to be sold in online auction
        * GOP opposition to school funding bill irks Manar
        * Durbin, Oberweis debate background checks for guns
        * Election 2014: Simon, Topinka spar over transparency, ethics in comptroller’s race
        * Statehouse Insider: There are a lot of campaign ads, in case you haven’t noticed
        * Quinn, Rauner address Illinois millennials
        * Burris an issue in Chicago trial
        * State schools seek carbon monoxide detectors

        * Look for news today on drug firm payments to doctors
        * U.S. prosecutor lifts hold on hearings into Quinn's anti-violence program
        * Drug firms paid U.S. doctors $3.5 billion
        * Leo Burnett beefs up shopper marketing
        * Things are getting better at O'Hare, Midway airports


        * Vigil held for Skokie teens; two Niles North seniors shot, one killed
        * The thug life runs deep
        * Chicago shutdown will cost airlines ‘hundreds of millions’: analyst
        * Man accused in FAA fire made 'tragic mistake,' lawyer says
        * Shake-up at Robert R. McCormick Foundation
        * Church hosts woman fighting deportation
        * Hackers might have Jewel-Osco customers credit card data — again
        * Prosecution rests in Joliet double murder trial
        * Top cab official arrested in vehicle title laundering case
        * Uber forges ahead with 420-job expansion contingent on veto


        * Facebook posting offers new details on suspect in fire at FAA radar center
        * Blue Line service returning to normal after construction debris slows traffic
        * Obama to discuss economy in Northwestern speech
        * Haunted house includes John Wayne Gacy room
        * Shoppers seek $100K from Victoria's Secret over shoplifting accusation
        * State begins notifying medical marijuana applicants
        * Alderman wants bigger fines for impersonating a city worker
        * Sister of Joliet double slaying victim: 'These people were just cruel'
        * Emanuel taxi proposal: No fare hike, centralized dispatch
        * Woman found after being reported missing in Grayslake


        * Chicago Mayor: Lower Penalties For Drugs
        * Can Politics And Prison Reform Mix?
        * Nursing Program Comes To UIS
        * IDOT Layoffs Halted, But Quinn Wants To Proceed
        * Quinn, Rauner Share Hazy Stance On Decriminalizing Pot
        * Decatur Forum Focuses On Compassion
        * Listen to State Week - September 26, 2014
        * Mike Lawrence: The Compelling Challenge Of Rehabbing Illinois
        * Pensions: Vexing Illinois Politicians Since 1917
        * Mary Todd Lincoln And Spiritualism


        * Panel plans to resume anti-violence program probe
        * Lawmaker panel plans to resume anti-violence program investigation
        * Quinn touts first year of Affordable Care Act
        * State-owned airplanes to be sold in online auction
        * Our Opinion: Job creation is a health priority in Sangamon County
        * GOP opposition to school funding bill irks Manar
        * Durbin, Oberweis debate background checks for guns
        * David McSweeney: Pension cost shift would lead to higher taxes
        * Bernard Schoenburg: Rauner campaign uses Michigan firm for calls
        * Election 2014: Simon, Topinka spar over transparency, ethics in comptroller’s race


        * Updated: Shots fired at Kentucky school, 1 student hurt
        * RLC to feature last Crusine Night of the year
        * Boil order issued for part of Lake Egypt Water District
        * Police: 1 child hurt, school evacuated in Kentucky
        * Belleville police believe they have captured gas station armed robber
        * SIU's Pruitt, Neidig earn CFPA awards
        * Food, fun planned for Marion Senior Club Halloween event
        * Teenage girl says a man tried to abduct her in Belleville
        * HUD provides grants for low-income residents
        * Absentee voting taking place in St. Clair, Madison counties


        * O'Hare, Midway airports nearing normal capacity
        * Police: 1 child hurt, school evacuated in Kentucky
        * U-46 parents, students criticize new grading system
        * Walgreen posts 4Q loss on Alliance Boots charge
        * Elgin woman dies after head-on crash

        * Representative Jan Schakowsky Sends Letter...
        * Rep. candidate pushes to uphold marriage b...
        * Reps. Schakowsky and Waxman Introduce Bill...
        * Statement by Representative Jan Schakowsky...
        * FAA Rejects Call For New O'Hare Noise Stud...
        * Representatives Quigley, Duckworth, Schako...
        * Representative Jan Schakowsky Statement on...
        * Representative Jan Schakowsky Statement in...
        * U.S. House Passes Resolution Condemning An...
        * Representative Jan Schakowsky Statement on...

        * Stupid Stuff on Steroids...
        * Stupid Stuff on Steroids...
        * Stupid Stuff on Steroids...
        * Lawyer Says Suspect In Radar Center Fire A......
        * Air Traffic Meltdown Puts FAA Vulnerabilit......

        * FAA Calls for 30-Day Review of Security Pr......

        * Beemsterboer Ends Petcoke Operation In Chicago
        * Public Interest Group Urges Against 'Wasteful Spending' On Illiana Expressway
        * TIF Meeting In 21st Ward
        * Emanuel To City Sister Agencies: Require A $13 Minimum Wage
        * Governor Quinn Visits TMA
        * Thinking of Getting a License in Florida?
        * What Illinois REALTORS® need to know about getting a Florida real estate license
        * Princeton Professor: Cultural Elite Can No Longer Tolerate Christians [video]
        * Chicago-based Mexican Consulate issues ID cards to Nationals via mobile office
        * Tom Tresser, Co-Founder Of The CivicLab, At TIF Town Hall Meeting


        * Quinn must take lame duck tax vote off the table
        * Governor Quinn Announces Successful First Year of Affordable Care Act Enrollment - More than 685,000 People Now Have Access to Quality Health Coverage Under the Affordable Care Act
        * Rauner hits Quinn on tax hike timing
        * Taxpayer Red Alert: Quinn Doubles Down on Lame Duck Tax Hike
        * Fact Check: Pat Quinn’s Most Desperate False Attack Yet




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