By: Ted Dabrowski and John Klingner
Mayor Brandon Johnson is considering reenacting the city’s corporate head tax. The mayor calls it an “option” as the city deals with multiple years of billion-dollar budget deficits, the Chicago Tribune reports.
His constant arguments for more tax hikes is a growth killer for a city that’s already suffering a lack of jobs and growth. The combination of Johnson and former Mayor Lori Lightfoot, coupled with Gov. Pritzker’s overarching business-unfriendly policies, have sapped the city of its dynamism.
The Chicago metro area’s economy has grown a total of just 4%, after taking inflation into account, since pre-covid 2019. It’s the slowest growth among the nation’s 15 largest metros.
By comparison, Atlanta’s real GDP is up nearly 10%. Houston’s is up 13% – triple that of Chicago. Miami is up 17.5%. And Phoenix takes the crown with a GDP growth of 20% – five times that of Chicago.
Gov. Pritzker’s policies have also slowed growth across the state. Illinois’ real GDP is up just 5.7% vs. 2019 – the 4th-worst growth in the nation.
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Since the mayor refuses to pursue any spending reforms and all his other tax proposals – his $300 million property tax hike and real estate transfer tax hike – have failed, it’s not surprising Johnson is looking for yet another way to wring cash out of the city’s businesses.
Chicago is going to struggle as long as its officials continue to push tax hikes – and not reforms – as the solution to the city’s financial problems.
Mayor Rahm Emanuel abolished Chicago’s previous $4-per-employee corporate head tax in 2014. Bringing it back will be just another reason for businesses and wealthy residents to leave.
Read more from Wirepoints:
- Are Chicagoans about to be hammered by more property tax hikes?
- Broken Chicago public safety pension math: Just $6 B in assets for $68 B in payouts
- Chicago’s Mayor Johnson wants the ultra rich to ‘step up.’ They’re more likely to step out.
- What one business owner said to me: Why expand in Illinois when there’s little economic growth?
Audio and summary 
If this bill passes, say goodbye to local control over all Illinois parks and expect to see open drug and alcohol use, needles, no sanitation and fire hazards, but no ordinary park users.
I believe CTU/Brandon & The Institute for Public Good want to copy Seattle as their progressive paradise model? Although by comparison Seattle is a very expensive city, very white, and less than a 3rd the size of Chicago but growing (16.9%) and has near zero pension debt. I don’t think Seattle public sector folks get anywhere as generous a deal as Chicago public sector but i could be wrong. I thought Minneapolis/ St Paul was supposed to be the “progressive” nirvana land? but maybe it’s Seattle?….Chicago just has to get rid of all it’s ‘po folk’ to make it to… Read more »
The rapid-fire frequency of these stupid ideas makes it hard for us readers to keep up.
https://www.newsmax.com/newsfront/americans-relocate-blue-states/2025/07/31/id/1220810/
Somebody throw this idiot a life jacket with a brain attached. He is sinking in job and brainless as well
This will not kill growth as there is no growth to kill. This will just be the last straw that will send more companies packing to for other states. Chicago and Illinois is destined to fail, they are A$$ high in pension debt so the must raise taxes much higher. Taxes are already too high so more and more people will flee the state. The City and State have been eaten by the public sector unions. They won, the taxpayers lost. The only way out is to get out.
Clearly doesn’t understand that overtaxation leads to corporations leaving with resulting job losses. He might consider cutting spending instead of implementing new taxes.
May Brandon and JB keep scoring own goals. It just means more jobs, growth and DC representation for we who’ve already relocated to the Southeast.
Pritzker, Johnson, and the public unions delivering gut punches to IL and Chicago taxpayers to maintain their status quo.