Posted on 01/21/2011 10:36:52 AM PST by cowtowney
Illinois' First Tax Hike Victim: Jimmy John's Founder to Move to Florida, Corporate Headquarters May Follow
In the first of what is likely many Illinois business exoduses to come, Jimmy John's founder contemplates moving headquarters out of Illinois.
The founder of Jimmy John's said he has applied for Florida residency and may recommend that his corporate headquarters move out-of-state as a result of the Illinois tax increases enacted last week.
Jimmy John Liautaud told The News-Gazette on Tuesday that he is angry about the moves, which boosted the individual income tax from 3 percent to 5 percent and the corporate income tax from 7.3 percent to 9.5 percent.
Good for them... too bad they didn't move to Texas ;-)
See also: Tom Golisano in NY.
Now if the company moves, let's hope they don't bring a bunch of wealthy Illinois libs with them to a red(dish) state like Florida.
The power to tax is the power to destroy...
How do you 'apply' for residency? Isn't it just a matter of moving there?
Or that you get more of anything you subsidize, like illegitimacy.
With regards to Daniel Patrick Moynihan, may he rest in peace.
The owner of Jimmy John’s isn’t the brightest bulb on the tree.
He’s running a franchise company with plenty of revenue, but few expenses. He shouldn’t be looking to Florida, which will levy a 5.5% tax on corporate income. That’s lower than Illinois’ new 9.5% rate, but he can do better. He also shouldn’t be looking to Indiana, which he has talked about, as their tax rate is 8.5%. That isn’t much better than Illinois’, and IF (huge if) Illinois’ tax law doesn’t change, Illinois will revert to a lower tax rate than Indiana in 2015. No way does he recover moving expenses if that happens.
If he wants to move, he needs to find a state with a corporate tax structure that is kind to his sort of business. IMHO, his best choices are:
1) South Dakota - 0% corporate tax
3) Wyoming - 0% corporate tax
4) Ohio - 0.26% tax on gross receipts
5) Texas - 1.0% tax on gross receipts
“The owner of Jimmy John’s isn’t the brightest bulb on the tree.”
No, he’s not. And he’s widely considered to be a pretty vile human being in and around Champaign-Urbana.
He moved his family to Florida a while ago, making the decision to move before the tax hike, and had planned to commute to C-U for work.
Good for them! You can bet they will be up for audit with the ILL dept of Revenue and the IRS. Obummer will work with the ILL machine to destroy Jimmy John’s. You can bet that the EEOC, The FDA, USDA will take out against Jimmy Johns.
Great Points
I wanna meet this guy.
He’s from my hometown, went to the same high school as my B.I.L., has his headquarters (for now!) in the town of my alma mater, and now he’ll be moving to my current State of residence.
Oddly, I didn’t even know he or his business existed until about two years ago, when my Boss told me about one of his sandwich shops about three minutes from our office.
≤}B^)
It is just a matter of moving there, just like every other state in the US.
“No, he’s not. And he’s widely considered to be a pretty vile human being in and around Champaign-Urbana”
I have never heard that. Where are you getting that from?
Crain’s reports Jimmy John’s corporate to begin move in 2013
By Staff reports
The State Journal-Register
Posted Sep 28, 2012 @ 08:23 AM
The Jimmy John’s chain will begin moving its operation out of Illinois early next year, making good on the owner’s threat to leave as a result of a 2011 state income tax increase, Crain’s Chicago Business reports.
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