Chicago's Brandon Johnson Say's There's No Evidence a Corporate Head Tax Is a Job Killer

Back in October, Chicago Mayor Brandon Johnson unveiled a budget that called for several tax hikes, including reinstating the city's corporate head tax, a "cloud tax" on electronically-delivered software, and a social media tax.

The corporate head tax would apply to any business with 100 or more employees and would charge businesses $21 per employee every month. That means in one year, a company with 100 employees would have to pay an extra $25,200 in taxes. Or fire one of the employees to get under that 100-person threshold.

Some companies might do that. It would make sense, of course. Others might close up shop entirely, or take that $21 from each employee.

That's a job-killer if we've ever seen one. And there's a reason Chicago did away with the head tax a decade ago.

But Mayor Brandon Johnson insists there's "no evidence" a corporate head tax will mean fewer jobs in Chicago.

There is no evidence that the corporate head tax is a "job killer."

"Civic Federation President Joe Ferguson said he, too, has not seen compelling evidence that...the head tax [is] a job killer: 'Everybody asks that question,' he said....‘No, I haven’t seen it.’" pic.twitter.com/jMKrOdERw4
— Mayor Brandon Johnson (@ChicagosMayor) December 12, 2025

When you tax something, you get less of it. It's why Democrats push for income taxes (so the rich have less income), soda taxes (so people drink less soda), and taxes on ammunition (so people can't afford to buy it).

It's not difficult to understand.

Do you really need empirical proof, if each additional employee you hire will increase your business’s tax, that head taxes will suppress employment?

Surely this is obvious. To anyone who had spent time in the private sector.
— NOfP-X (@NOfPPlus) December 12, 2025

So healthcare, tech, and manufacturing will get more expensive only. Got it🤦‍♂️. In the history of capitalism not one damn person said to the government yes daddy give me more taxes. This is Tim Walz level retardation to think they won’t rise costs on patients, consumers, etc.
— Ittza Me, Chiraq Animal (@ChiraqAnimal) December 12, 2025

At a time when Democrats are screaming about affordability and the "healthcare crisis," making health services more expensive seems unwise.

Basic economics: if I move my business out of Chicago, I will not have to pay the corporate tax and Chicago then loses tax revenue from my business
— Bac4more - standing up and not backing down (@Bac4more2) December 12, 2025

It's not only a job killer but also a revenue killer. Places that raise taxes rarely, if ever, see long-term gains from it. Those who can afford to leave, whether rich individuals or businesses, do. Their tax rate then becomes $0.

Of course, Chicago could reduce its budget deficit by controlling spending, including the millions Chicago Public Schools spent on travel and other perks, even as the district was $700 million in debt.

Editor’s Note: Help us continue to report the truth about corrupt politicians like Brandon Johnson.

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