Feasibility of Tax Incentives for Purchases of Recycling Equipment or Recycled Products

摘要

Growing quantities of solid waste are becoming more difficult and expensive to dispose of in an environmentally safe way. To help alleviate some of this problem, the possibility of providing tax incentives to Illinois' businesses for using recycled materials and products, and the purchase or lease of recycling equipment are investigated in the report. The report evaluates specific tax incentive options recommended by Illinois businesses using a combination of theoretical modeling and marketing, financial and other data compiled on the Illinois recycling industry. The report also presents tax incentive policies tried or proposed in other states; looks at programs or proposals made at other governmental levels, and enumerates non-tax factors potentially influencing the viability of tax incentives as a mechanism for reducing the solid waste stream through recycling. The report concludes that, while in theory financial incentives can result in increased recycling, tax incentives are not a cost effective method of providing financial incentives in Illinois.