SPRINGFIELD, Ill. – Legislation supported by state Rep. Silvana Tabares, D-Chicago, forbidding the state from contracting with or investing in corporations that fail to pay their fair share in state taxes went into effect as of Jan. 1, 2018.
“Middle-class families and small businesses feel betrayed by a system that only seems to benefit the wealthy and well-connected,” Tabares said. “When billionaires and powerful corporations do not pay their fair share of taxes, middle-class families and small businesses are forced to pick up the tab, and that’s unacceptable.”
In 2003, the federal government put in place restrictions on contracting with or investing federal funds in expatriate corporations that avoid paying taxes by stashing profits overseas. The Tabares-backed House Bill 3419 restricts similar actions at the state level. Additionally, the measure requires the Illinois Investment Policy Board to investigate and identify a list of large corporations that the state should prohibit contracting with and report the list to the state by April 1, 2018.
“Our state is facing unprecedented fiscal challenges, and it’s infuriating that Governor Rauner chose to prioritize the profits of millionaire CEOs and corporations, over the well-being of our state,” Tabares said. “This common sense bipartisan reform will support small businesses who play by the rules, encouraging them to do business in our state.”