Illinois workers pay taxes to their employers, not to the state. read on.

If that headline had you confused- here it is again.
Some companies in Illinois have convinced the government to let them pocket their workers taxes.

In other words, if you work for one of these companies, the taxes that are deduced from every paycheck don’t go into the governments coffers- they go to the company you work for.

Tax dollars that would normally flow into the state treasury to pay for education and other necessary state services never make it there- instead these taxes go towards CEO bonuses. The corporations that get these sweet deals get to keep the money from their employees that would normally go to the state free and clear.

Why would the government agree to this?

The Illinois government was desperate to keep companies in state, so they went looking for a solution that could reward the job creators.

Usually states offer tax incentives, to entice companies to stay, trouble is- these companies either pay zero state taxes, or the minimal amount they pay on taxes weren't enough of an incentive to stick around.

The Illinois government knew that if it had to write a large check to these companies to stay in state, it would look ugly. Some might call it a kickback, others might say it was extortion.

Either way, the solution was to let the businesses retain worker paid for taxes as they were generated.

Sounds like the people that work for these companies, aren't getting necessary services for their tax dollars. You know, little things, like police, fire departments, roads, schools. Oh well, who needs the police anyway. Better that those tax dollars contribute to the corporations profits. Call me cynical, but it sounds like the workers are actually paying their employers for the privilege of having a job.

funny that, i thought the job creators were supposed to pay employees.
call this what you will, but this isn't capitalism, it isn't a free market.

If this continues- you need to know that it isn't a zero sum game.
As the federal government cuts back financial aid and subsidies to states, it will starve the states of revenue.

Every single republican running for president wants to eliminate capitals gains taxes, and corporate taxes.
If they do that, the states will have to raise tax rates on corporations. Businesses will threaten to move from one state with high taxes, to a state with lower taxes. Finally, when the tax rate is zero in every single state, the job creators will still demand larger and larger kickbacks.

When that isn't enough if an incentive- what then?

read more here.
you can view the story here.

Paying the corporate overseers for the privilege of having a job, sounds like feudalism doesn't it?

Admittedly, I was slow to catch on; but if you look at those on the far right, namely the Koch brothers, Cain, Perry, Bachman, and Paul Ryan, they all pay lip service the Constitution, to freedom, but- what they really want- is to make us all serfs!

If we are the serfs, who would the feudal lords be?

Call what the far right believe in- feudalism, corporatism, fascism- it doesn't matter, what does matter is that they do not believe in democracy.