Close Corporate Tax Loopholes

Across the country, some of the nation’s most prosperous people and companies — including GE, Google and Goldman Sachs — have avoided paying the taxes they owe, costing taxpayers $150 billion just last year.

TAX HAVENS COST US $150 BILLION A YEAR

No company should be able to game the tax system to avoid paying what it legitimately owes. And, yet, with atleast 83 of the nation's top 100 publicly traded companies establishing shell companies in offshore havens to avoid taxes, this is becoming more the rule than the exception. GE, Google, Goldman Sachs and dozens of others have created hundreds of phantom entities with nothing more than a clever tax attorney and P.O. box. 

Most recent academic studies estimate that about $150 billion in tax revenue is lost every year to offshore tax havensThe result? Cuts to public services, additional taxes today or additional debt to be paid by the next generation. 

It’s not illegal, but it’s not right.

Meanwhile . . . the average taxpayer paid $1,026 more to cover the billions that GE and others skipped out on last year, companies that don’t use these schemes keep struggling to compete with those that do, and state legislatures and Congress are considering deep cuts for essential public programs — from education, to health care, to clean air and drinking water.

We're being asked to tighten our belts and make sacrifices while giving the tax haven crew a free ride. Illinois PIRG is pushing for commonsense changes that simply say that if corporations are based here and generate profits here, then they should, like all of us who earn income here, pay the taxes they owe.

Issue updates

News Release | Illinois PIRG Education Fund | Budget

New Report: Illinois Receives a “B+” in Annual Report on Transparency of Government Spending

Illinois received a B+ when it comes to government spending transparency, according to “Following the Money 2014: How the 50 States Rate in Providing Online Access to Government Spending Data,” the fifth annual report of its kind by the Illinois Public Interest Research Group (PIRG) Education Fund.

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News Release | Illinois PIRG | Tax

Victory for Taxpayers and Consumers as Justice Dept. Denies Toyota $1.2 Billion Write-Off in Criminal Probe Settlement

Today, the Justice Department acted in the best interests of taxpayers and consumers, by denying Toyota a hidden $420 million tax benefit on its settlement for misleading consumers about dangerous car malfunctions. One line of text in the settlement made the difference: “Toyota agrees that it will not file a claim, assert, or apply for a tax deduction or tax credit.”

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News Release | Illinois PIRG Education Fund | Tax

Illinois could save $108 million with simple, proven method to curb offshore tax dodging, new study finds

A simple reform, which has already been proven effective in Montana and passed in Oregon, would require companies to treat profits booked to notorious tax havens as domestic taxable income.

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Report | Illinois PIRG | Tax

Closing The Billion Dollar Loophole

New report tells how some states have found a simple reform to reclaim significant revenue lost to offshore tax havens. Includes estimates of how much each state loses in state revenue to offshore tax haven abuse and how much each state would gain by closing the "water's edge" loophole.

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News Release | Illinois PIRG | Budget, Tax

JPMorgan Shouldn’t Receive Tax Windfall for London Whale Penalty

Unless regulators forbid JPMorgan Chase from writing off an $800 million settlement as a tax deduction, taxpayers could end up shouldering 35 percent of the cost of the settlement.

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News Release | Illinois PIRG | Tax

Offshore Tax Havens Cost Average Illinois Taxpayer $1,058 a Year, Illinois Small Businesses $3,202

With Tax Day approaching, it’s a good time to be reminded of where our tax dollars are going. Illinois PIRG released a new study that revealed the average Illinois taxpayer in 2012 would have to shoulder an extra $1,058 in taxes to make up for the revenue lost due to the use of offshore tax havens by corporations and wealthy individuals.

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News Release | Illinois PIRG Education Fund | Budget

New Report: Illinois Receives an “A-” in Annual Report on Transparency of Government Spending

Illinois received an “A-” when it comes to government spending transparency, according to “Following the Money 2013: How the States Rank on Providing Online Access to Government Spending Data,” the fourth annual report of its kind by the Illinois PIRG Education Fund. 

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News Release | Illinois PIRG Education Fund | Budget, Tax

Offshore Tax Dodging Blows a $2.5 Billion Hole in Illinois’ Budget

With Illinois in the midst of a budget crisis, the Illinois PIRG Education Fund, joined by the Small Business Advocacy Council; Gail Glasser, a small business owner; and the Chicago Political Economy Group, released a new study revealing that Illinois lost $2.5 billion due to offshore tax dodging in 2012. Many of America’s wealthiest individuals and largest corporations use tax loopholes to shift profits made in America to offshore tax havens where they pay little to no taxes.

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News Release | Illinois PIRG Education Fund | Budget

Chicago Receives a Grade of “A” for Spending Transparency

Chicago received a grade of “A” for conventional budgetary transparency, according to a new report released today by Illinois PIRG, but more work remains to be done to make TIF and privatization initiatives more transparent. The report reviews Chicago’s progress toward comprehensive, one-stop, one-click budget accountability and accessibility.

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Report | Illinois PIRG Education Fund | Budget, Tax

Caution: Red Light Cameras Ahead

Privatized traffic law enforcement systems are spreading rapidly across the United States. But when private firms and municipalities consider revenues first, and safety second, the public interest is threatened.

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Report | Illinois PIRG | Budget, Tax

Toward Common Ground

To break through the ideological divide that has dominated Washington this past year and offer a pathway to address the nation’s fiscal problems, the National Taxpayers Union and U.S. PIRG joined together to identify mutually acceptable deficit reduction measures.

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Report | Illinois PIRG | Budget, Tax

Shining a Light on Tax Increment Financing in Chicago

This report gives an initial snapshot of how well the Mayor’s office is doing in introducing transparency to tax increment financing (TIF) by examining how well critical information has been made available on the TIF transparency website.

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Report | Illinois PIRG Education Fund | Budget, Tax

Tax Shell Game

Tax havens are countries with minimal or no taxes, to which U.S.-based multinational firms or individuals transfer their earnings to avoid paying taxes in the United States. Users of tax havens benefit from access to America’s markets, workforce, infrastructure and security, but pay little or nothing for it—violating the basic fairness of the tax system.

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Report | Illinois PIRG Education Fund | Tax

Following the Money 2011

This report is Illinois PIRG Education Fund’s second annual ranking of states’ progress toward “Transparency 2.0” – a new standard of comprehensive, one-stop, one-click budget accountability and accessibility.

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