Illinois Tax Increase Reportedly Prompts State Farm Insurance to Move to Texas
Well it appears that California and Illinois have at least one thing in common – the ability to pass tax policies that send businesses fleeing out of state.
According to Dallas Morning News Reporter Steve Brown, the Bloomington, Illinois based State Farm Insurance has leased over 2.5 million square feet of office space in Texas. That’s enough room for thousands of employees, but the company reportedly only has about 140 employees listed in Texas.
According to Brown’s report, “Last fall the Bloomington, Ill.-based insurance giant told the home town paper
that the company was consolidating some operations. The firm said it
was making the moves to “become more efficient and streamline
operations.”
Perhaps not so ironically, two years ago Illinois increased personal income taxes by 67% while increasing corporate taxes by 30%. Illinois legislators tried to address the flight of employers via tax incentives for big name employers, but the state failed to adjust its spending. As a result, Illinois is perhaps the one state that is closest to insolvency, but we believe California can’t be far behind.
2013-02-21 16:00:25
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