* State Rep. Mike Zalewski (D-Riverside) Mark Denzler, vice president and COO of the Illinois Manufacturers’ Association and Bill Gibson, Illinois state director at Great Lakes Graphics Association wrote this on behalf of the AIM Coalition…
Illinois is home to more than 450 corporate research and development facilities, yet businesses watched the R&D credit renew and expire four different times over the last 13 years. Imagine how hard it must be for a business to invest and spend in Illinois with the uncertainty of our tax environment.
Companies plan their R&D investment 5, 10 or even 20 years in advance and the present on again/off again cycle is one we need to break. Further, the absence of a permanent policy is driving R&D investments to neighboring states taking those good, high paying jobs averaging salaries of $80,000 with them. We are seeing this migration more frequently as new agricultural implement research expands in Iowa and as companies remain headquartered in Illinois, but choose to manufacture and develop product across state lines.
Or in the case of the commercial printing industry, Illinois is the only state in the nation without an incentive for commercial printers engaged in manufacturing activity. Yes, once again we’re at the bottom. The graphic arts exemption expired at a time when the industry employed 55,100 workers in more than 2,300 facilities. Quite simply, that industry’s livelihood is dependent upon this incentive encouraging businesses to invest in higher quality, more technologically advanced printing and graphic arts equipment.
An opportunity exists with bipartisan support to rally around legislation that backs the modern and permanent extensions of four critical tax incentives including:
Go read the whole thing.