Bill Text: IL SR0551 | 2023-2024 | 103rd General Assembly | Introduced
Bill Title: Urges the United States Congress to take immediate action to clarify and amend the U.S. tax code to prevent the misuse of Puerto Rican tax incentives. Urges any amendments to the tax code to preserve the original intent of promoting economic growth in Puerto Rico while preventing potential misuse and addressing the negative economic impacts on the local population. Encourages collaboration between federal, state, and local governments, as well as with Puerto Rican authorities, to ensure that tax policies are fair, transparent, and effective. Recommends the implementation of educational campaigns to inform the public about the proper use of tax incentives and the potential consequences of misuse in Puerto Rico.
Spectrum: Partisan Bill (Democrat 18-0)
Status: (Introduced) 2023-11-07 - Added as Co-Sponsor Sen. Karina Villa [SR0551 Detail]
Download: Illinois-2023-SR0551-Introduced.html
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| 1 | SENATE RESOLUTION | ||||||
| 2 | WHEREAS, Since 2012, tax incentives have been provided to | ||||||
| 3 | investors, primarily mainland Americans, allowing them to pay | ||||||
| 4 | no taxes on interest, dividends, or capital gains upon | ||||||
| 5 | relocating to the Commonwealth of Puerto Rico; and
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| 6 | WHEREAS, These tax incentives were initially intended to | ||||||
| 7 | promote economic growth and investment in Puerto Rico; and
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| 8 | WHEREAS, Despite the influx of investors, there is limited | ||||||
| 9 | evidence of trickle-down benefits for the broader Puerto Rican | ||||||
| 10 | economy, as reported by the Washington Post; and
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| 11 | WHEREAS, After a decade of these tax incentives, evidence | ||||||
| 12 | from an Internal Revenue Service investigation indicates | ||||||
| 13 | misuse of these incentives, leading to growing frustrations | ||||||
| 14 | among Puerto Ricans due to the apparent favoritism; and
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| 15 | WHEREAS, Such misuse undermines the intent of the tax | ||||||
| 16 | incentives, potentially displacing local residents and causing | ||||||
| 17 | significant economic disparities; and
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| 18 | WHEREAS, Tax incentives and the right to return to land | ||||||
| 19 | should only benefit Puerto Ricans in the diaspora and those | ||||||
| 20 | who reside in the Commonwealth of Puerto Rico; therefore, be | ||||||
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| 1 | it
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| 2 | RESOLVED, BY THE SENATE OF THE ONE HUNDRED THIRD GENERAL | ||||||
| 3 | ASSEMBLY OF THE STATE OF ILLINOIS, that we urge the United | ||||||
| 4 | States Congress to take immediate action to clarify and amend | ||||||
| 5 | the U.S. tax code to prevent the misuse of Puerto Rican tax | ||||||
| 6 | incentives; and be it further
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| 7 | RESOLVED, That we urge any amendments to the tax code to | ||||||
| 8 | preserve the original intent of promoting economic growth in | ||||||
| 9 | Puerto Rico while preventing potential misuse and addressing | ||||||
| 10 | the negative economic impacts on the local population; and be | ||||||
| 11 | it further
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| 12 | RESOLVED, That we encourage collaboration between federal, | ||||||
| 13 | state, and local governments, as well as with Puerto Rican | ||||||
| 14 | authorities, to ensure that tax policies are fair, | ||||||
| 15 | transparent, and effective; and be it further
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| 16 | RESOLVED, That we recommend the implementation of | ||||||
| 17 | educational campaigns to inform the public about the proper | ||||||
| 18 | use of tax incentives and the potential consequences of misuse | ||||||
| 19 | in Puerto Rico; and be it further
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| 20 | RESOLVED, That suitable copies of this resolution be | ||||||
| 21 | delivered to the President of the United States, the U.S. | ||||||
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