Mayor Daley Predicts Corporate Tax Hike Will Cause Businesses to Leave the State

Late last night, the legislature passed personal and corporate income tax increases. Check out what Mayor Daley has to say about it.

by Amanda Griffin-Johnson

Mayor Daley is one of the latest public officials to voice concern over the impact the new corporate income tax increases will have on Illinois. The Institute has long warned that tax hikes would drive jobs and businesses away from the state. Mayor Daley seems to understand that. Too bad the legislature didn’t. The Chicago Tribune reports:

Mayor Richard Daley today predicted the increase in the corporate income tax rate passed by state lawmakers overnight will prompt a quiet exodus of jobs to neighboring states.

“Businesses don’t have press conferences like this and announce they’re moving 50 people out, 60 people out, 70 people,” Daley said.

The comments of the Democratic mayor, who is not seeking re-election in February, echoed those made by Republican lawmakers as the Legislature sent the tax increase to Gov. Pat Quinn overnight with just the votes of Democrats who control the House and Senate. Quinn, a fellow Democrat, is expected to sign it.

“We have a new governor-elect in Wisconsin, a lot of competition comes from Wisconsin. (Gov.) Mitch Daniels from Indiana, a lot of competition,” Daley said at a City Hall news conference to announce that downtown building owners have been asked to illuminate their properties with blue lights next week to signify peace in honor of Martin Luther King Jr.’s birthday.

The full Chicago Tribune article is available here. You can read the Institute’s reaction to the personal and corporate income tax hikes here.