To Pay Taxes, or to not pay taxes....

[Quack Krazy]

that is today's question. I'm a taxman and filed an Illinois Corp Tax Return last August for the 2008 tax year. The return requested a refund of $5,600 - & to date the refund has not been issued. Soooo, I called the "great" (sarcasm dripping off my lips) State of Illinois to inquire about the status of the refund.

The Illinois Dept of Revenue Agent's response, "Refunds from 2008 Corporate filings have not been issued, nor will they be issued during the fiscal year 2010. There is also no timeline as to when we might be issuing these refunds in the future due to our state's budgetary crisis".

So, as of now, they have not issued 2008 refunds. They will not be issuing 2009 refunds, and futhermore, there is no timeline as to when they might begin doing so....

My response, "Wow, I imagine that has caused quite a stir up there" His reponse, "Yes, quite a bit"

[primacyone]

I don't think NC will be paying refunds in a timely fashion this year either, but hopefully they will not be delayed as much as above - dang.

I'm sure you don't agree, but I think the whole Country should go to a sales tax system and eliminate the income tax system. But that's just my opinion.

[Quack Krazy]

Ken Lay (Comm of NCDOR) announced a couple of weeks back that 2009 refunds were being held in order to manage cash flow. NC did the same thing last year. But to be holding refunds from 2008 - makes you wonder what the heck is going on in Illinois...Obama's home. Sure hope the Feds don't use Illinois as a fiscal model!!

Believe it or not, PO, I'm not against a sales tax or other flat tax even though I'd have to find another niche if it were to happen.

I don't believe they will ever do that though....

[Jimbob]

I believe if I was in IL that I'd just have to take a credit on my 2009 taxes for my 2008 taxes.

[Quack Krazy]

I believe if I was in IL that I'd just have to take a credit on my 2009 taxes for my 2008 taxes.

Seems fair to me. My guy didn't owe any tax in 2009 though - had a loss. They really need the '08 refund due them. If I were a business filing in Illinois w/taxable income I'd sure have reservations about paying it in - that's for sure!