CPEG’s Dr. Bill Barclay testified recently before the Illinois Pension Conference Committee regarding the state’s underfunded pension plan. Dr. Barclay’s solution-focused testimony included a presentation on a Financial Transactions Tax, a Graduated Income Tax, and Closing State Tax Loopholes, all of which would provide revenue solutions to aid Illinois’ ailing pension plan without punishing the public employees who earned those benefits after years of service to the state.
Video of the testimony can be found here. Dr. Barclay’s presentation begins at the one hour 29 minute mark.
The accompanying powerpoint presentation can be downloaded here.
On July 3rd, CEPG’s Ron Baiman provided testimony before a group of Illinois lawmakers serving on a special Pension Conference Committee regarding the state’s underfunded pension plan.
Baiman presented findings in collaboration with research from CPEG’s Bill Barclay regarding potential solutions to Illinois’ structural revenue problem including closing huge tax loopholes, a financial transactions tax, and a graduated individual income tax. The powerpoint referenced in the video can be downloaded here.
This is a crosspost from the “Dollars & Sense Real World Economics” Blog, authored by CPEG’s Ron Baiman.
It’s been interesting following the recent press on corporate tax avoidance, and in Chicago, the ignominious public school closings. I thought it would be useful to take a minute to draw out the linkages.
The biggest revelation from Apple’s tax avoidance strategy has been it’s scheme to set up “corporate persons” who don’t reside anywhere.1 Apple set up an Irish subsidiary incorporated in Ireland (and therefore not liable for U.S. corporate taxes) but managed from California (and therefore not subject under Irish law to Irish taxation) that has rights to the income from all of the companies trademarks and patents in Asia, Africa, and Europe. Presto! This special corporate person is not legally liable for any taxes – a step up from the usual multinational “transfer pricing” and “off-shore” tax haven strategies where the poor “corporate person” still has to at least have a place of residence!