LISTEN: WBBM Newsradio’s Steve Miller reports
CHICAGO (CBS) — The Cook County budget that is up for a vote Friday includes a first-ever county tax on cars and boats bought through sites such as Craigslist.
But as WBBM Newsradio’s Steve Miller reports, the plan comes as a surprise to the state office that would be playing a key role.
LISTEN: WBBM Newsradio’s Steve Miller reports
Currently, the county does not impose a tax on transactions through Craigslist, or between neighbors, involving cars, boats, RVs and trailers.
The Amazon tax, which became law in January, is bad for businesses, workers, and families. Last week, Performance Marketing Associates brought a lawsuit against the Illinois Department of Revenue challenging the constitutionality of the law.
As far back as last year, executive vice president, Kristina Rasmussen warned that if the bill passed companies would flee Illinois. The day the bill passed, small businesses like Fatwallet.com immediately began to look for facilities in Wisconsin to relocate to. For a state that is 48th in job creation, scaring away jobs and employers does not seem like a sustainable strategy for the future. But there is some good news, Performance Marketing Associates seems determined to get this harmful law overturned. From their press release:
“House Bill 3659, signed by Governor Pat Quinn last March, victimizes Illinois entrepreneurs, small businesses, and even non-profit organizations who publish online advertisements for out-of-state retailers in an unlawful attempt to expand the state’s taxing authority.”
This law, like the 67% tax hike just passed, is just another attempt by our Governor to ensure that government spending continues its skyward climb. The sad part is the bill won’t even accomplish its central goal: raise money for the state:
via Illinois Policy Institute – Blog – Amazon Tax, Short-lived?.
Posted by Greg H. at 4/15/2011 12:34 PM CDT on Chicago Business
You might call it Amazon Tax II — a proposed sales tax “simplification” measure with potentially massive financial implications.
Chicago-area officials say the bill could cost them hundreds of millions, and maybe billions, of dollars a year. But the measure involved, S.B. 2194, nonetheless passed its first test at midday Friday, clearing the Illinois Senate with three votes to spare and heading to an uncertain fate in the House.
Technically, all the bill, sponsored by Sens. Toi Hutchinson, D-Olympia Fields, and Dan Kotowski, D-Park Ridge, would do is force the Illinois Department of Revenue to collect sales taxes based on one and only one factor: the location at which the item is purchased.
via ‘Amazon Tax II’ passes Illinois Senate — to furious opposition from city, county, RTA | Greg Hinz | Blogs | Crain’s Chicago Business.
A Chicago alderman says he has come up a plan that could produce more revenue for the city.
Alderman Joe Moreno says owners of gas-guzzling cars should pay more for city vehicle stickers. At the same time, owners of electric cars and hybrids should see the cost of their vehicle stickers decline.
According to Moreno, the long-term goal is to provide an additional incentive for people to drive more fuel-efficient cars.
Currently, vehicle stickers for small passenger cars that run on gas cost $75 per year. Those would go up $20 to $95 under the Moreno plan.
via Chicago alderman proposes vehicle sticker hike – chicagotribune.com.
Tax Me, Tax Me, Tax Me, Alderman Joe Moreno
By John Byrne Tribune reporter
Owners of gas-guzzling cars in Chicago could see city sticker shock to go with the pain at the pump if an alderman’s plan to increase the cost of the annual stickers is approved.
Ald. Joe Moreno, 1st, hopes to raise about $21 million per year for the cash-strapped city by raising the price of city vehicle stickers for certain types of cars.
Moreno’s plan, which he introduced to the City Council today, also would lower the cost of the stickers for electric cars and hybrids.
via City stickers for most cars could cost more – chicagotribune.com.
More taxes from politicians!
Google Inc. cut its taxes by $3.1 billion in the last three years using a technique that moves most of its foreign profits through Ireland and the Netherlands to Bermuda.
Google’s income shifting — involving strategies known to lawyers as the “Double Irish” and the “Dutch Sandwich” — helped reduce its overseas tax rate to 2.4 percent, the lowest of the top five U.S. technology companies by market capitalization, according to regulatory filings in six countries.
“It’s remarkable that Google’s effective rate is that low,” said Martin A. Sullivan, a tax economist who formerly worked for the U.S. Treasury Department. “We know this company operates throughout the world mostly in high-tax countries where the average corporate rate is well over 20 percent.”
The U.S. corporate income-tax rate is 35 percent. In the U.K., Google’s second-biggest market by revenue, it’s 28 percent.
Google, the owner of the world’s most popular search engine, uses a strategy that has gained favor among such companies as Facebook Inc. and Microsoft Corp. The method takes advantage of Irish tax law to legally shuttle profits into and out of subsidiaries there, largely escaping the country’s 12.5 percent income tax.
Google 2.4% Rate Shows How $60 Billion Lost to Tax Loopholes – Bloomberg.
By Carol Marin on February 22, 2010 5:57 PM
Join us tonight at 7PM on Chicago Tonight (Channel 11) as Civic Federation boss Lawrence Msall describes what his organization views as the terrible truth. Major cuts, tax increases, taxes on pensions.
What’s so interesting about all this is that Msall is no big liberal, nor is his organization.
He has worked for two Republican governors in his career. And yet Republicans in the General Assembly are so far saying “no dice.”
via Illinois. Out of Cash. Worst state for pensions. What to do? – Carol Marin.