Illinois Captive Tax “Sneaked” Through, Businesses Could Leave


Thomas Jones said he expected some Illinois businesses to re-evaluate their options if a new law raising taxes on state corporations with captive insurance arrangements was enforced. “It may cause the larger captives that have parents headquartered in Illinois to re-assess the optimum domicile for them and if the captive is as beneficial as it previously was,” Mr. Jones said, adding he did not believe the new tax aimed to encourage companies to domicile their captives in their home state.