Democrat proposal seeks to reduce small business revenue
A controversial proposal has been filed in the Senate to take critical operating revenue away from Illinois’ small business community.
Senate Bill 1132 would change the amount of tax revenue that could be kept under the vendor’s discount related to collecting various taxes for the State of Illinois. Currently, businesses who collect sales tax keep 1.75 percent of the sales tax they are collecting, covering collection and filing requirement costs.
While the proposed legislation would keep the 1.75% discount rate as it stands, Senate Bill 1132 would place a maximum collection cap at $1,000 per year for Illinois’ businesses.
State Senator Dale Righter (R-Mattoon), who opposes the legislation, issued the following statement on the measure:
“Why Democrat lawmakers think it’s okay to rob Peter to pay Paul continues to baffle me. While it is critical that we find sustainable revenue to pay down our bill backlog, we shouldn’t be looking to take money away from Illinois’ small and family-owned businesses where many employers are already operating under razor-thin profit margins,” said Righter. “As long as we continue to entertain irresponsible legislation such as this, Illinois’ spending problems and unfriendly economic climate will continue to drive out employers and residents.”