Business groups from around the state were quick to offer their opposition to Governor JB Pritzker’s budget plan to eliminate corporate tax breaks to balance the budget.

Here is the reaction from a few of them:

Illinois Manufacturers’ Association President & CEO Mark Denzler:

“In the midst of a global pandemic that has caused widespread economic disruption, the Governor’s repeated attempts to hike taxes on small businesses and job creators is unacceptable, especially after voters overwhelmingly rejected his last plan to raise taxes. Illinois should be looking for ways to support businesses, create good-paying jobs, and jump-start investment in our communities. Instead, this administration wants to not only hike taxes but also cut job training funds intended to build a skilled workforce. Meanwhile, other states have embraced policies to grow the economy by cutting taxes, reducing regulations and adopting liability protections. “Throughout the pandemic, manufacturers answered our nation’s call by making and donating personal protective equipment, creating life-saving vaccines and therapies, and stocking our grocery stores with safe and nutritious food. The industry stands ready to lead our economic recovery, but it’s imperative the governor and lawmakers work with manufacturers, not against us.”

Illinois Chamber of Commerce President & CEO Todd Maisch:

"The Illinois Chamber is opposed to the massive tax increase proposed by the Governor’s budget plan under the guise of "closing corporate loopholes." We understand that the state has fiscal problems to address, however, the Governor’s plan will have a long-term negative impact on job creation and tax revenues for the state as it produces an unfair increase on taxpayers after they resoundingly defeated the graduated income tax. This not only will expand what will get taxed, but will also reduce key tax credits for vital sectors of the economy."

"We know the administration faces a tough fiscal task. However, these tax increase proposals will only paper over our short-term problems but accelerate Illinois’ long-term economic crisis. In particular of the many problems in the Governor’s proposals, a particular concern is the elimination of the single sales factor in assessing Illinois income tax. This misguided proposal has the impact of increasing taxes on Illinois based businesses at a time we can least afford it.”

Illinois Retail Merchants Association President & CEO Rob Karr:

“Retailers have served a vital role throughout the pandemic, ensuring safe and reliable access to food and supplies to now helping vaccinate the state and nation. Despite immense challenges, including government closures, capacity restrictions, denial of access to PPE, and civil unrest that forced some businesses to rebuild not once but twice, retailers were repeatedly called upon to lead the way. This includes establishing health and safety protocols the government soon followed. While the governor claims he is focused on rebuilding the state’s economy, it is counterintuitive that his first step is to raise costs on businesses by eliminating the retail discount, which only partially reimburses store owners for administering and collecting sales tax on behalf of the state. “Claiming this change would only impact ‘big’ retailers ignores the fact that it is a partial reimbursement for costs incurred on behalf of the state and attempts to deceive smaller retailers into believing they won’t be touched. Action in other states proves the government will continue to redefine ‘big.” Shifting more of the cost of administration and collection onto retailers does nothing to support struggling businesses and indicates the governor fails to fully appreciate all that retail contributes to our state, which prior to the pandemic employed one-fifth of all workers in Illinois and served as the second largest revenue generator for state government and the largest revenue generator for local governments. As I’ve long said, as goes retail, so goes Illinois.”

Patrick Pfingsten

@pfingsten1 patrick@theillinoize.com