Illinois’ Graphic Arts Sales Tax Exemptions

UPDATE – SB 523, Amendment 1 has been stopped.

January 11, 2017: WE did it: our efforts in Springfield stopped Senate Bill 523 which provided a “grand bargain” that falls short when getting into the specifics of the bill. The bill also provided NO provisions for the reinstatement of the Graphic Arts Exemption and the Manufacturers Purchase Credit. Our partners in our efforts, The Illinois Manufacturing Association and the Illinois Press Association, pulled out all the stops with us to let our legislators know this bill fell “way short” of what we are looking for.

So now we move forward with the swearing in of the 100th Illinois General Assembly and all bills are reintroduced. Senator Linda Holmes of the 42nd district has agreed to sponsor the Graphic Arts Exemption and MPC bill with co-sponsors Senator Michael E. Hastings of the 19th district and Senator John Mulroe of the 10th district, along with a package deal bill that will be filed separately. They will both be assigned a number once submitted.

As the new Assembly begins, we will continue to keep a careful eye on the progress once these bills are introduced along with other issues that pertain to our industry.

Again, thank you for taking up the cause and spending a few minutes on the phone with your legislator. It works!

YOUR Immediate assistance – Stop SB 523, Amendment 1

January 9, 2017: We are in need or your immediate assistance. As you may have heard, legislation was filed on January 8, 2017, in the Illinois Senate touted by some as a “grand bargain:” a package of bills designed to bring the state’s two year budget impasse to a close. Unfortunately, in typical Illinois fashion, these measures fall short and represent a failure by politicians in Springfield to make Illinois competitive again and hear their constituents.

Legislators in Springfield, specifically state senators, need to hear that you are OPPOSED to this package of bills that simply raise taxes and do nothing to improve the business climate in Illinois.

PLEASE CALL YOUR STATE SENATOR NOW!!!

We have been fighting long and hard to get the incentives back that have created a competitive environment for our industry and have invested heavily in new equipment and technology that has provided jobs and income for many Illinoisans.

Please pick up the phone and make the call and encourage your employees and management team to get involved. This bill MUST be stopped…say NO to Senate Bill 523, Amendment 1.

Thank you for your engagement on this issue.

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Diverse Illinois Coalition Supports Permanent Tax Solutions to Provide Stability and Strengthen Job Creators; Support HB 5717!

March 3, 2016: The fight continues to restore Illinois’ critical graphic arts sales tax exemptions. A diverse group of business industries across the state of Illinois has launched a coalition committed to advocating for modern and permanent extensions of four critical tax incentives that will provide stability and predictability for job creators.

Advance Illinois Manufacturing includes members in the manufacturing, agriculture, printing, biotech and other important sectors of the state’s economy. The AIM Coalition is advocating for permanent tax solutions to ensure that a wide variety of industries in Illinois remain competitive in the marketplace. AIM is hoping the legislature will support a series of legislative measures that must be adopted to create a secure business environment to further existing manufacturing interests as well as future investment.

“We need to do more in Illinois to embrace the compromising spirit and attract business growth and development here,” said state Rep. Mike Zalewski, D-Riverside, the bill’s chief sponsor. “These tax credits will provide targeted incentives with measurable benefits for employers large and small. My hope is we can use this package to build consensus on innovative ways to grow our state.”

Among the four key points of AIM’s Legislative Agenda – HB 5717 sponsored by Rep. Zalewski are reforming the Manufacturers Purchase Credit to make it permanent by merging it into the Manufacturing Machinery & Equipment exemption; and reforming the Graphic Arts Sales Tax Exemption to make it permanent. Both tax incentives sunsetted in August 2014, significantly affecting the printing industry in the state.

“Presently 49 other states offer some kind of economic incentive to commercial printers engaged in manufacturing activity,” said GLGA’s Bill Gibson. “So the renewal of these incentives is critical to the survival of the commercial printing industry in Illinois. Unfortunately, due to gridlock in Springfield and the expiration of serval pro-business credits, companies are at disadvantage in the marketplace. When lawmakers talk about making Illinois more competitive, about more small business opportunities and about stopping job losses to other states – this is exactly the type of legislation they should be supporting.”

“Illinois needs a stable tax code that will lead to new job creation and increase our position of strength in technology and innovation,” said Mark Denzler, Vice President/COO, Illinois Manufacturers’ Association. “It’s imperative that we advance these four critical tax incentives to keep Illinois manufacturing competitive and to effectively advocate for an industry that employs 570,000 workers in Illinois and contributes $101 billion in total manufacturing output.”

Coalition Members include Illinois Manufacturers’ Association, Illinois Science & Technology, Great Lakes Graphics Association, iBio, Southwestern Illinois Employers Association, Illinois Petroleum Council, Illinois Press Association, Taxpayers Federation of Illinois, Illinois Coal Association, Chicagoland Chamber of Commerce and Choose Du Page Economic Development Alliance.

Pictures from the 2015 Legislative Day:

Derek-Gordon,-Kyle-McCarter,-Dale-Righter,-John-Kingery A delegation of Illinois printers and equipment manufacturers went to the State Capitol in Springfield, IL, on April 23, 2015, to fight for the reinstatement of our industry tax incentives. From left: Derek Gordon, Ryobi MHI Graphco; Sen. Kyle McCarter (R-Vandalia); Sen. Dale Righter (R-Mattoon); and John Kingery, Kingery Printing.    
Senator-Kimberly-A.-Lightford-(D),-Mary-Richards-Lawrence A delegation of Illinois printers and equipment manufacturers went to the State Capitol in Springfield, IL, on April 23, 2015, to fight for the reinstatement of our industry tax incentives. From left: Sen. Kimberly Lightford (D-Westchester) meets with Mary Richards Lawrence, Richards Graphic Communications.

 

The future of your company and Illinois’ print industry depends on everyone’s active involvement. Let’s work together to bring back what we have lost and further our position as a necessary industry to the rebuilding of the State. Tell your legislators to stop their political budget battles and to get back to making Illinois a hospitable state for the printing industry.

RESOURCES:

LINKS – ILLINOIS LEGISLATURE: