IVCA Legislative Alert! No On HB 3393 - SB 1719

No On HB 3393 - SB 1719

The Illinois Venture Capital Association urges you to contact your state legislators and ask them to oppose two bills being considered in the Illinois General Assembly.
 
House Bill 3393 and Senate Bill 1719 propose a 20% “privilege tax” on partnerships and S corporations engaged in the business of conducting investment management services.
 
The Chicago Teachers Union and their legislative allies contend the state should find revenue to address its fiscal challenges and instill more “fairness” in the tax code by taxing the capital gains income of investment managers including partners of private equity firms.  Similar efforts are underway in Connecticut, New Jersey, New York and Massachusetts.
 
As amended by House Committee Amendment #1, HB 3393:
 
(c-5) Surcharge.  Notwithstanding any provision of law to the contrary and in addition to any other tax imposed under this Act, a privilege tax is imposed on partnerships, including investment partnerships, and S corporations engaged in the business of conducting investment management services at the rate of 20% of the fees earned from the investment strategy of the investment manager and not from the investment itself; the privilege tax shall be imposed.
 
HCA #1 to HB 3393 also established an effective date of July 1, 2017.
 
SB 1719 is effective immediately, but only if the states of Connecticut, New Jersey and New York enact identical measures.
 
HB 3393 has cleared the House Revenue and Finance Committee on a party-line vote of 7-4 and could be heard in the full House in the near future.  The bill at this moment has 20 members of the House Democratic Caucus as cosponsors.
 
SB 1719 has been assigned to the Senate Revenue Committee but as of this writing the timing for a possible hearing had not been determined.

For any questions please call IVCA Legislative Liaison Dave Stricklin at 312-771-2562.
 
HB 3393 – Rep. Chris Welch
http://www.ilghttp//www.ilga.gov/legislation/BillStatus.asp?DocTypeID=HB&DocNum=3393&GAID=14&SessionID=91&LegID=105147 a.gov/legislation/BillStatus.asp?DocTypeID=HB&DocNum=3393&GAID=14&SessionID=91&LegID=105147Springfield Office Phone: 217-782-8120
District Office Phone: 217-524-0448
District Office:  Westchester
 
SB 1719 – Senator Daniel Biss
http://www.ilga.gov/legislation/BillStatus.asp?GA=100&DocTypeID=SB&DocNum=1719&GAID=14&SessionID=91&LegID=104610Springfield Office Phone: (217) 782-2119
District Office Phone: (847) 568-1250
District Office:  Skokie
 
You can find out who your representative and senator are, and their contact information at: http://www.elections.il.gov/districtlocator/addressfinder.aspx 
You can also file a “witness slip” in opposition to the Senate bill.  To do so perform the following steps:
1- Go to http://my.ilga.gov/2- On the left panel find: Senate
3- Click Senate Committee Hearings
4- Find the 3/29 hearing posting for Revenue
5- Click on the icon to the right for “hearing details”
6- On the next page you will see the list of all the bills to be heard in that committee
7- Under witness slips, select the far right icon to write your own witness slip
8- The slip will be an “opponent” and “in record of appearance only”
 
 
Senator Ira Silverstein- co-sponsor of SB1719
Springfield office phone: (217) 782-5500
District Office:  Chicago
 
Co-sponsors of HB3393
Rep Sonya Harper
Springfield office phone: 217 782-5971
District office phone: 773-925-6580
District office:  Chicago
 
Rep Theresa Mah
Springfield office phone: 217- 782-2855
District office phone: 872-281-5775
District office:  Chicago
 
Rep Litesa Wallace
Springfield office phone: 217- 782- 3167
District office phone: 815-987-7433
District office:  Rockford
 
Rep Silvana Tabares
Springfield office phone: 217-782-7752
District office phone: 773-522-1315
District office:  Chicago
 
Rep Will Davis
Springfield office phone: 217-782-8197
District office phone: 708-700-7300
District office:  East Hazel Crest
 
Rep Lisa Hernandez
Springfield office phone: 217-782-8173
District office phone: 708-222-5240
District office:  Cicero
 
Rep Andre Thapedi
Springfield office phone: 217-782-1702
District office phone: 773-581-9250
District office:  Chicago
 
Rep LaShawn Ford
Springfield office phone: 217-782-5962
District office phone: 773-378-5902
District office:  Chicago
 
Rep Carol Ammons
Springfield office phone: 217-558-1009
District office phone: 217-531-1660
District office:  Champaign
 
Rep Marcus Evans
Springfield office phone: 217-782-8272
District office phone: 773-782-8492
District office:  Chicago
 
Rep Robert Rita
Springfield office phone: 217-558-1000
District office phone: 708-396-2822
District office:  Blue Island
 
Rep Michael Halpin
Springfield office phone: 217-782-5970
District office phone: 309-557-3612
District office:  Rock Island
 
Rep Christian Mitchell
Springfield office phone: 217-782-2023
District office phone: 773-924-1755
District office:  Chicago
 
Rep Will Guzzardi
Springfield office phone: 217-558-1032
District office phone:773-227-9720
District office:  Chicago
 
Rep Justin Slaughter
Springfield office phone: 217-782-0010
District office phone: 773-445-9700
District office:  Chicago
 
Rep Art Turner
Springfield office phone: 217-782-8116
District office phone: 773-277-4700
District office:  Chicago
 
Rep Jaime Andrade
Springfield office phone: 217-782-8117
District office phone: 773-267-2880
District office:  Chicago
 
Rep Kelly Cassidy
Springfield office phone: 217-782-8088
District office phone: 773-784-2022
District office:  Chicago