Saturday, September 29, 2012
Jimmy John’s Boss Blasts State Taxes, Announces HQ Move
The founder of the Champaign-based Jimmy John’s sandwich company revealed he intends to move to Florida and take the company’s licensing division with him – all because of Illinois’ corporate tax hike last year. “I think you will see us out of Illinois in the next two to four years, and it will probably be Indiana or Austin, Texas, if I was to guess,” Jimmy John Liautaud said at a panel discussion sponsored by the Illinois Policy Institute just noticed by Crain's Chicago Business.
Liautaud said more than a year ago that he'd applied for residency in Florida out of anger when Gov. Pat Quinn raised the corporate tax rate. The rate now is 9.5 percent, 7 of which is the income tax and 2.5 the property replacement tax, there being no tax on personal property in Illinois. The increase is theoretically supposed to expire at the end of next year.
On the panel last week Liautaud said other states, such as Michigan, Indiana and Texas, have been courting him to headquarter his company with over 1,200 stores, most franchised, elsewhere. Liautaud said he doesn’t mind paying taxes. “What I mind Is how they spend the tax,” he said. “I would stay, but the way they spend the tax is what’s really driving me away.”
You can read the rest of Jayette's report at: http://watchdog.org/57618/il-week-in-review-november-election-issues-taking-shape/