Friday, January 27, 2012
Small Business Group Urges State Leaders To Fix Tax Ranking
The Tax Foundation, a non-profit think tank based in Washington, ranks the states every year on their respective business climates. Illinois' dropped this year farther and faster than any other state. “In 2011, Illinois enacted significant tax increases...businesses in the state now pay one of the highest corporate tax rates in the industrialized world,” said the report.
Illinois fell 12 places in the ranking from 16th to 28th, marking the sharpest decline among all 50 states. “This is not the way we want to be viewed regionally, nationally or internationally,” said NFIB State Director Kim Clarke Maisch. “We are developing a reputation in the business community as a place to leave or avoid," she said. “We dropped in ranking in every category of taxation,” said Maisch. “The trend is going in the wrong direction and if we remain on this course the damage may be irreversible.”
Maisch pointed out that Illinois is now almost surrounded by states with better business climates. Indiana, Michigan, Kentucky and Missouri, all immediate neighbors, are all ranked higher in the report. “We can’t compete in our own region if we isolate ourselves with taxes that businesses can avoid simply by moving a few miles in either direction,” said Maisch.
The Tax Foundation's report is located here: http://taxfoundation.org/research/show/22658.html