Business tax increase could push Sears out of Illinois

Susie An May 11, 2011
HTML EMBED:
COPY

Business tax increase could push Sears out of Illinois

Susie An May 11, 2011
HTML EMBED:
COPY

Jeremy Hobson: To the State of Illinois now which is increasing its tax on businesses to deal with a huge budget deficit. Now some big-name companies are threatening to leave the land of Lincoln.

From Chicago Public Radio, Susie An reports.


Susie An: You know that great Chicago icon, the Sears Tower? Well, that’s no more. It’s called the Willis Tower now because Sears moved its headquarters to a cheaper location in the suburbs. And with rising taxes, Sears is considering yet another move — to another state.

Paul Swinand analyzes Sears for Morningstar.

Paul Swinand: I think overall Sears is purely looking at the bottom line. So the company has been struggling recently, and if they can get significant tax savings, they can take that money and plow it back into the business.

Illinois Governor Pat Quinn says he is willing to negotiate tax incentives.

Pat Quinn: We will sit down with the Sears people and their representatives and elected representatives. I’m sure we’ll work out something.

Quinn seems to be coming to the table a lot lately. Recently, Illinois made a deal with Motorola Mobility. That company’s getting a $100 million tax break over the next 10 years.

In Chicago, I’m Susie An for Marketplace.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.