- United Airlines Inc. (UAL) used a “sham” site outside Chicago to avoid paying the full tax on jet fuel, the Illinois Regional Transportation Authority said in a lawsuit.
The airline’s United Aviation Fuels Corp. unit, which purchases jet fuel for United and its regional carriers, used an office in Sycamore, Illinois, that has no true sales activity, the agency said in the complaint filed yesterday in state court in Chicago. The office has one staff member, who doesn’t work daily and doesn’t have a computer, according to the complaint.
“The only reason that United Fuels has an office in Sycamore is to attempt to create a sham tax situs for fuel sales in a lower taxing jurisdiction,” the authority said. “The sales of jet fuel in this complaint are occurring in Chicago, not Sycamore.”
And as a sharp eyed (and sharp tongued) commentator noted:
- So United Airlines and another airline opened offices in a rural part of Illinois.
They threw an old desk and chair and some papers inside the offices and then claim that's where they negotiate fuel purchases from.
Which by the way cheats Cook County and Chicago out of millions of dollars in taxes on said fuel purchases.
Funny thing is no-one has seen anyone in the office or coming and going to it.
Heh, whoever heard of such a thing?
Putting a old bag of crap in a building just to pretend like you're living or working there?
Now that is comedy brilliance there.
Labels: city politics