The head of the Chicago Mercantile Exchange’s parent company is telling lawmakers his shareholders are growing impatient. Terry Duffy, chairman of CME Group, says his company is entertaining offers from other states. He spoke Tuesday to members of two different committees considering corporate tax cut legislation.
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In CME’s case, Duffy says his company pays six percent of the entire corporate tax collection in the state. Lawmakers said they understand that if a company is no longer in Illinois, the state will be making zero percent from it. But some local taxing districts suggest having a big company in it is simply not worth it. “This legislation would take about $150 million out of our school system,” Carpentersville superintendent Michael Bregy said of Sears’ potential benefit. Part of the legislation being considered has to do with a taxing district in Hoffman Estates, which Sears Holdings is threatening to leave. The legislation would allow CME to pay closer to $60 million in corporate taxes to the state, as opposed to the nine-digit figures it’s accustomed to. The tax increase approved in January pushed CME’s expected bill to almost $160 million. There are actually two bills in the works.
HB 1883 remains in the Senate Executive Committee.
SB 397 remains in the House Revenue and Finance Committee.