Download a PDF copy of Wirepoints’ Progressive Tax Guide

By: Ted Dabrowski, John Klingner and Julie Schmidt

On Nov. 3, Illinoisans will vote on whether to keep Illinois’ flat income tax structure or move the state to a new progressive income tax scheme. The flat tax structure has been in the Constitution since 1970.

Less than two weeks remain and the airwaves are being bombarded with emotionally charged ads for and against the progressive tax. 

Still confused? Here are the 20 facts you should know about the progressive tax amendment.

1. What you’re voting on…

First, know that when you vote on the amendment, you are not voting on any tax rates.

The only thing you are voting on is whether or not to let lawmakers move Illinois’ income tax from a flat structure to one that allows different income levels to be taxed at different tax rates, often called a “progressive tax.” 

Today, the Illinois Constitution ensures incomes are taxed at a single, flat-tax rate, regardless of how much Illinoisans make. That means everybody pays the same share of their income in taxes. 

Under a progressive tax structure, some income levels can be taxed at higher tax rates than other income levels.

Voting “yes” supports the change to a progressive tax structure, and voting “no” opposes the change and keeps the flat-tax structure.

2. What you’re not voting on…

Again, you are not voting on tax rates. The proposed amendment doesn’t set any tax rates whatsoever. Instead, lawmakers set tax income rates through legislation, which can be changed at any time.

To be clear, the amendment you are voting on:

  • Does not set permanent tax rates in the constitution.
  • Does not ensure 97% of Illinoisans will pay the same or less in taxes.
  • Does not limit lawmakers to raising taxes only on the rich.
  • Does not stop lawmakers from raising taxes on lower and middle-income Illinoisans.
  • Does not stop lawmakers from imposing higher rates on any and all income groups.

Also note that the ballot language describing the amendment is inaccurate. The ballot states the amendment “gives the State ability to impose higher rates on those with higher income levels and lower income tax rates on those with middle- or lower-income levels.”

That is misleading. There is nothing in the amendment language to stop lawmakers from imposing the same high rates on both middle- and low-income Illinoisans. Eighteen progressive states tax middle-income residents at the same rate as the wealthy. (See Fact 14 for details.)

3. The proposed tax rates can change at any time…

Lawmakers have already passed a set of progressive tax rates and income brackets which will go into effect on January 1st, if the amendment passes. When you hear ads saying “97% of Illinoisans will pay the same or less,” that statement is referring to the rates lawmakers passed, not the amendment. 

The maximum tax break any Illinoisan would receive under the new structure is just $65 (for a taxpayer with $249,999 in income). An Illinoisan with a net income of $10,000 will receive a tax break of $10.

The tax rates and breaks, however, are only introductory. The progressive tax structure allows the state to impose higher rates on any income group. And the taxes and the income brackets can be changed by the legislature at any time without taxpayer input. The introductory tax rates and the income brackets are shown below.

4. Without reforms, the proposed tax hike falls billions short of what Illinois needs…

The legislature’s introductory progressive tax rates are projected to raise an additional $3.1 billion in revenue annually, though that amount may be overly optimistic if too many of Illinois’ wealthy residents flee.

That amount is far short of what’s needed to cover the state’s deficits, let alone pay for the governor’s other spending promises. Without reforms, Illinois needs about $10 billion in additional revenues each year just to properly balance the budget. 

That’s made up of a structural budget shortfall of some $3-$4 billion annually, another $1 billion yearly to begin paying down the state’s $8 billion in unpaid bills, and about $5 billion more each year to properly pay for the state’s true retirement costs.

Unless lawmakers enact major spending and pension reforms, they’ll have no choice but to eventually raise tax rates again (see Fact 5).

5. What progressive tax rates may eventually look like… 

Since Illinois lawmakers refuse to pursue pension and spending reforms, they will eventually be forced to raise taxes to address the state’s $10 billion annual deficit highlighted in Fact 4.

A Wirepoints analysis of Illinois Department of Revenue tax data found that lawmakers will have to significantly raise rates on both middle- and higher-income Illinoisans to raise $10 billion annually. Tax rates on middle-income Illinoisans would jump to 9 percent, while rates on the wealthiest taxpayers would increase to more than 11 percent. 

(The example below is one of many potential rate structures, but it’s a fair representation of the rates required to raise a $10 billion across middle- and higher-income taxpayers.)

6. There’s no property tax relief…

No matter what’s been advertised, the $3.1 billion raised by the introductory progressive tax rates would not provide real property tax relief to Illinois homeowners.

The tax hike’s new revenues would be immediately swallowed by the state’s budget shortfall. There’d be nothing left for the state’s other problems.

Illinois governments collect more than $32 billion in property taxes every year. To provide Illinoisans with meaningful property tax relief of just 15 percent, the state would have to increase progressive income taxes by an additional $5 billion over and above the amount already needed to cover the state’s structural deficits. That would require significantly higher tax rates on Illinois’ middle- and lower-income residents.

7. Illinois’ current flat income tax is fair…

You may have heard the current flat-tax structure is unfair because low income residents and wealthier residents pay the same tax rate. Under Illinois’ current flat income tax, everyone pays the same rate of 4.95 percent.

But focusing on the rate ignores that the wealthy pay far more in taxes under the flat-rate tax structure. Those who earn more, pay more.

Take, for example, two Illinoisans. One makes $20,000, while the other makes 100 times more, or $2,000,000. At a 4.95 percent tax rate, the lower income Illinoisan pays nearly $1,000 in taxes, ignoring exemptions and deductions. In comparison, the wealthier resident will pay about $100,000, or 100 times more.

8. Illinois’ current flat income tax, after exemptions, is effectively progressive…

What you might not have heard is that after taking into account deductions and exemptions, Illinois’ flat-tax structure is actually progressive.

Illinois’ standard exemption lowers each Illinoisans’ taxable income by $2,275. That, coupled with many other deductions allowed by law, results in lower-income Illinoisans paying a lower effective tax rate than higher-income Illinoisans.

Data from the Institute on Taxation on Economic Policy shows how “progressive” Illinois’ flat tax already is. Illinoisans with the lowest incomes effectively pay 1.5 percent of their income in taxes. In contrast, the wealthiest taxpayers pay 4.1 percent

9. Hitting the wealthy may cause more to leave…

Illinois already loses thousands of wealthy Illinoisans to other states every year. IRS data shows a net 26,000 tax filers making $200,000 or more have left Illinois since 2012 alone, depriving the state of a cumulative $60 billion in income that could have been taxed.

Frustrated by Illinois’ corruption, debts, high taxes, a struggling economy and politicians’ complete refusal to pursue reforms, you can bet many more high-income residents have one foot out the door. A 60 percent tax hike might be their final reason to leave.

10. Illinois’ political history is full of broken promises…

Illinois politicians have a long history of breaking promises to Illinoisans, especially when it comes to taxes.

Politicians promised the 2011 “temporary,” 67 percent income tax hike would fix the state’s budget and eliminate its unpaid bills. “We have some temporary tax increases that are designed to pay our bills, get Illinois back on fiscal sound footing and make sure that our state has a strong economy,” said Gov. Pat Quinn. Four years and $31 billion additional tax dollars later, Illinois’ budget remained unbalanced, its bills unpaid and its pension debts were larger than ever.

Politicians again promised balanced budgets and stability after they passed a permanent 32 percent income tax hike in 2017. Now they’re back again, promising the same with the progressive income tax hike.

Illinois’ spiking pension debts prove how empty those promises have been. Despite billions of dollars in tax hikes, Illinois pension debts continue to rise, putting a larger and larger burden on struggling Illinoisans.

Without real spending and pension reforms, lawmakers will have no choice but to raise taxes on those who generate two-thirds of the taxable income in Illinois: lower- and middle-income earners.

11. Taxing retirements will be a whole lot easier…

There’s been a lot of discussion whether the amendment would lead to a tax on retirement income. Today, retirement income is not taxed in Illinois, though there is nothing in state law prohibiting it. It’s simply been too unpopular for lawmakers to pass under the current flat-tax regime – taxes would have to be raised on all retirees at one flat rate.

But under a progressive tax structure, taxing retirement becomes much easier. Lawmakers can target one segment of retirees, say higher-income retirees, with a new tax. That makes it far easier to pass politically than targeting all retirees at the same time. Once lawmakers successfully tax one segment of retirees, other segments could be targeted over time.

State Treasurer Frerichs said it best recently: “One thing a progressive tax would do is make clear you can have graduated rates when you are taxing retirement income.” Frerichs is correct. Every single state with a progressive tax structure also taxes retirement income.

12. The amendment allows for multiple income taxes…

Passing the amendment will not only allow Illinois lawmakers to pass any progressive tax rates they want, it would also allow them to tax the same income more than once.

The current language of the Illinois Constitution says the state can only have one income tax. The amendment strips that language from the Illinois Constitution, giving state lawmakers the option to pass multiple taxes on Illinoisans’ income. For example, they could pass an additional income tax dedicated to paying for pensions.

13. Illinois is nearly surrounded by flat tax states…

Several pro-tax ads imply that Illinois’ flat tax makes the state an outlier, especially among its neighbors. But the fact is the majority of Illinois’ neighbors have a flat or nearly-flat tax structure.

Michigan has a flat tax like Illinois. All Michiganders pay the same rate of 4.25 percent. The same goes for residents in Indiana, with a flat state tax of 3.23 percent. Kentuckians, too, pay a flat-tax rate of 5.0 percent. And Missouri’s progressive tax structure is essentially flat, taxing all income above $8,424 at a rate of 5.4 percent.

14. There are 18 states with a flat tax or no income tax at all…

Illinois will not “modernize” its taxes, as some promoters of the tax like to say, by adopting a progressive structure. In fact, the trend nationally has been for states to adopt flat or zero income taxes.

Utah changed from a progressive income tax to a flat tax in 2008. North Carolina moved to a flat tax in 2014. Kentucky changed to a flat tax in 2018. And Tennessee has passed legislation that will eliminate the state’s income tax by 2022. In contrast, Connecticut was the last state to adopt a progressive income tax back in 1996. 

In all, there are currently 18 states nationally that tax residents at the same tax rate. Nine states have flat incomes taxes and nine have no income tax at all.

15. Many progressive tax states treat the middle class like the wealthy…

No matter what pro-tax ads may imply, a progressive tax is not a cure-all for middle-income residents. Many “progressive tax” states tax low- to middle-income workers at the same marginal rate as millionaires. Eighteen of them, in fact. The table below highlights those states.

Georgia, for example, taxes everybody’s income above $7,000 at the marginal rate of 5.75 percent. Idaho’s top marginal rate is 6.93 percent on all income greater than $11,554. Neighboring Missouri has a top rate of 5.4 percent on all incomes above $8,424.

Almost all of the top tax rates in the table are higher than the 4.95 percent Illinoisans pay today, before taking exemptions and deductions into account. Look down the list. Nebraska’s top rate is 6.84 percent on incomes over $31,160. That’s certainly not “millionaire” income levels. Nor is it in Iowa, where residents pay a max of 8.53 percent on the income they make over $73,710. In that whole group of states, only New Mexico has a top rate that’s lower than Illinois’ current flat tax.

16. The progressive tax would result in the second-highest business rate in the nation…

Lawmakers’ introductory progressive tax would raise tax rates on all individuals making over $250,000, many of whom are small business owners, to as high as 7.99 percent from today’s flat rate of 4.95 percent. It would also raise Illinois’ corporate income tax rate to 10.49 percent, the second-highest in the nation, behind only New Jersey. 

The Tax Foundation found that Illinois’ business competitiveness would plummet to 47th from 36th nationally under those progressive tax rates.

That’s exactly why Warren Buffett says he wouldn’t relocate a business to a state like Illinois. He knows lawmakers will hit businesses with higher taxes to pay for things like the state’s pension crisis: “In the public sector, you know, it’s a disaster…If I were relocating into some state that had a huge unfunded pension plan, I’m walking into liabilities…And those are big numbers, really big numbers…And when you see what they would have to do I say to myself, ‘Why do I wanna build a plant there that has to sit there for 30 or 40 years?’”

17. Illinois is already the most corrupt state in the nation…

Voters have to decide if they want to hand over more of their tax dollars to the most corrupt state in the nation.

A 2020 study by the University of Illinois at Chicago found that, “Chicago continues to be the most corrupt city in the country and Illinois remains the third most corrupt state.” And a report by the ABC 7’s investigative news team pegs Illinois as “the most corrupt state in America.”

A Chicago alderman, two state senators and two state representatives have all been indicted in the past year. House Speaker Mike Madigan is under investigation and Senate President Don Harmon’s offices have been raided by federal agents, as well.

18. Illinois is already shrinking more than any other state in the country…

Voters have to decide whether higher taxes are worth the risk of even more residents leaving. Illinois is already losing more people than any other state in the nation. In all, Illinois’ population has shrunk by 170,000 since 2010.

19. Illinoisans already face one of the nation’s highest tax burdens…

Illinoisans have to decide whether they can afford a higher overall tax burden, already one of the nation’s highest.

The Tax Foundation says Illinoisans are burdened by the 5th-highest state and local taxes in the nation. And Kiplinger, the personal finance company, calls Illinois the “Least Tax-Friendly State” in the nation. 

20. Illinois home values already suffer some of the worst growth in the nation…

Illinoisans have to decide whether their already-suffering home values can handle more tax hikes.

Unfortunately for Illinois homeowners, they already pay the highest property taxes in the nation. Those high taxes and weak demand have damaged the value of Illinoisans’ property. U.S. Census Bureau data shows that real Illinois median home values have fallen by nearly 20 percent since 2005, the 6th-worst performance nationally.

A Wirepoints-Zillow study found that Illinois homeowners lost out on $270 billion in property appreciation between 2009 and 2019 due to the state not growing at the national average.

Last point: Reforms are the alternative to tax hikes 

One thing entirely missing from the debate over the progressive tax is spending reforms. 

Despite the many crises described above, structural reforms have never been offered to ordinary Illinoisans as an option – only higher taxes.

Vote how you want on Nov. 3, but realize that Illinoisans should have been voting on a pension reform amendment – the constitutional change Illinois really needs.

To learn more about the real solution to Illinois’ financial and pension crisis, visit Wirepoints’ Pension Solutions page.

Download a PDF copy of Wirepoints’ Progressive Tax Guide

67 Comments
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26 days ago

if you let them in your pocket now it will never stop ….VOTE NOOOOO!!!!!!!!!!!!

Swissarge
27 days ago

Anyone who believes that Illinois politicians are going to be “fair” should stand in line when the Brooklyn Bridge is available for sale. I personally, as a business owner, do not know of many people with businesses, that plan to stay in Illinois if this double barreled law is passed. Ross Perot accurately predicted the “sucking sound” of businesses leaving the USA with the insane policies back then, and now, I can assure all Illinoisans about the “great sucking sound”of Illinois businesses if these same politicians that have mismanaged the state, are allowed to have this insane tax increase, at… Read more »

Poor Taxpayer
29 days ago

I will be voting Yes, someone has to pay the bills.
I would prefer to vote for a spending cut, but there is no such choice.
I feel guilty stealing from unborn children.

anonymous
29 days ago
Reply to  Poor Taxpayer

If you vote yes you are falling into the Dems and their pockets. That is what is going to happen–they will be able to reach into your pocketbook at anytime without putting into vote or a referendum and can take what and how much they want at any time.
Half the Billionaires in Illinois are of the Pritzker family or genepool–do you think that they want to give any more than they have to? Really seriously? Why do you think that this guy took the toilets out of his house?

Poor Taxpayer
28 days ago
Reply to  anonymous

Who is going to pay for the excessive spending?
Who is going to Pay for HUGE PENSIONS?

Only answer is more and more and more taxes.
As they say “Shut up and pay your taxes”.

Defund Democraps
25 days ago
Reply to  Poor Taxpayer

”shut up and pay taxes” that’s what you are doing.

26 days ago
Reply to  Poor Taxpayer

voting yes will get you FU*& in the long run…. soo sorry but these jerks will mess with you sooner or later.PLEASE RECONSIDER .

K
26 days ago
Reply to  Poor Taxpayer

Vote no

Defund Democraps
25 days ago
Reply to  Poor Taxpayer

You are just giving money to the cops.

Poor Taxpayer
1 month ago

Tax people right out of the state.
The Rich Will leave, they poor do not pay taxes.
The Poor Honest Hard Working Taxpayer is who will pay, pay, and pay.

The only answer is to cut spending and cut pensions to the same as Social Security.
Never going to happen in your life time.

So get ready for much higher taxes for a long, long time.

Illinois Entrepreneur
1 month ago
Reply to  Poor Taxpayer

I’m trying to decide if I should read your work as poetry or a song. Should I think Beatles or Robert Frost?

Riverbender
1 month ago
Reply to  Poor Taxpayer

This too will fail as Pritzker’s business killing lockdowns will eliminate many of the hard working taxpayers you refer to causing them to leave the State to seek employment or just become the newest members of the Illinois welfare set.

Bob Out of Here
1 month ago

Indiana also levies a county option income tax, so the 3.23% as shown on the graphic is misleading. Wabash County has a local tax rate of 2.9% in addition to state income tax.

Sue Lindstrom
1 month ago

If this is supposed to be a fair account of the fair tax it shouldn’t be centered on the what the tax could do. Very negative. It doesn’t say they MAY raise taxes….but say they won’t. You should add that they can raise all our taxes anytime now without the fair tax. Yes we all pay the same percent but use 5%. 5% takes a big slice out of a poor persons living expenses that a rich person won’t even notice. They’d have plenty of money left for all the things the rest of us will never afford. That’s why… Read more »

Riverbender
1 month ago
Reply to  Sue Lindstrom

Inflation will soon take its toll making everyone get within the upper brackets just as can be seen by the history of The Alternative Minimum Tax. The politicians know this all too well and is a part of their plan. Regarding the poor a much better way would be for the State to cut spending and allow taxes to be cut to help the poor.

Aaron
1 month ago
Reply to  Sue Lindstrom

Go pound sand commie.

Illinois Entrepreneur
1 month ago
Reply to  Sue Lindstrom

You fail to fundamentally understand how a wealthy person’s mind works. It doesn’t work like a well-to-do fireman making $180,000 a year, who spends what they have on toys and pleasure, and then doesn’t miss “the change.” Wealthy people look at money as an instrument of freedom and power. They don’t desire more of it because they want more “toys” and material things. They look at it is as the key to unlocking more freedom and excitement to continue “playing the game” with more startups, investments and influence. The more money you have, the more power over your own life… Read more »

MonarchStateSBO
25 days ago
Reply to  Sue Lindstrom

Taxing the employers at a higher rate will cause employers to leave the state. As is, the federal minimum wage being raised to $15 per hour is going to hurt many small businesses in many states. Many small businesses do not make the millions a year that corporations do. The minimum wage takes a huge percentage of a small businesses revenue. Who do you think is going to pay more tax when the major employers pull out of Illinois because they cannot afford the higher taxes on top of the higher wages that have been imposed? I worked at Motorola… Read more »

joe the plumber
1 month ago

This article should be circulated everywhere. If the mouth breather is dependent on making things up and out right lying, it must be weak AF.

David G Ford
1 month ago

Lol,mouth breather is correct!-I heard putzker is going to -make burger king and dunkin donuts tax exempt cuz thats the only 2 places he eats!!-lol!!

Ex Illini
1 month ago

This is an excellent summary of the pitfalls associated with the very dangerous “fair” tax. All of us should share this with as many people as we can. I have one foot out the door of this state, but will be leaving behind many friends and family that deserve better than tax policies such as this.

NB-Chicago
1 month ago

Ted, John & Julie–per your item #12 –allows taxing revenue multiple times. Doesn’t fair tax make it easier to target/layer taxing individual revenue scources while excluding others? For example, state could create a general tax on all retirement income scources (ss, 401ks, IRAs, pensions, etc) at one set of rates that would be dedicated to school funding for example. And then add a second layer of tax on retirement at differnt rates dedicated to pension funding that includes all scources of retirement revenue but excludes public sec pension retirement income. Conceivably state could have infinite layers of taxation on a… Read more »

NB-Chicago
1 month ago
Reply to  NB-Chicago

Really dumb question–does fair tax amendment apply not only to state taxing of income sources but to all illinois rediculous 7,000 units of government as well? Or in other words if for example, chicago could get legislative approval for city income tax they could then conceivably pass thier own multilayered graduated tax with rates set by city dedicated sperately to city, cps, cpd, park district,,,,,and on and on with no end in sight. WOW!!!!

Admin
1 month ago
Reply to  NB-Chicago

Right. Approval of the amendment would eliminate any constitutional barrier to a city or local income tax. However, the legislature would still have to approve it.

NB-Chicago
1 month ago
Reply to  Mark Glennon

But would state legislature set the rates? Or local governments could set thier own graduated rates?

NB-Chicago
1 month ago
Reply to  NB-Chicago

I would assume the only practical way for a municipality, or 7000 units of gov, or +600 pension, or etc to capitalize on added fair tax/ multi taxation on a revenue scource would be to piggyback on state income tax filings. Illinois could conceivably have thousands of small tacked on taxes to your income tax for example going to all the 7000 units of gov. Just like my crazy cc prop tax bill. Maybe with mendoza serving as gatekeeper/bookkeeper and deducting the intercept …what could go wrong in the byzantine labyrinth of illinois politics????

Riverbender
1 month ago
Reply to  Mark Glennon

Question. Would home rule municipalities be able to institute an income tax without Legislature approval?

NoHope4Illinois
1 month ago

stoppritzkerstaxhikes.com

Dan weaver
1 month ago

When you do the same thing over and over again, is that insanity or stupidity. That the debtocrat polititians and the stupid voter in Illinois. They are insane or just plain stupid

1 month ago

If anyone really thinks this is agood idea, I’d like to keep reminding them about all the broken promises state & local politicians have made over last 15 years with each “temorary that became permanent” tax increase. Nothing in this state has fiscally improved one iota.

littleshop86_Audrey.jpg
SherlockHomeless
1 month ago

Just so people understand the truth: there are 18 billionaires living in Illinois, 6 of them are Pritzkers, and we know for certain that Governor Pritzker is a tax cheat.

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Last edited 1 month ago by SherlockHomeless
Mike Mendola
1 month ago

I can never understand why some ordinary people take up the “Tax the rich!” mantra. The rich are the ones who employ the middle class. Chase away “the rich” and our jobs will leave too.

The tax system we have now is a fair one. It’s not that we don’t take in enough money. It’s that we spend too much!

The Truth Hurts
1 month ago
Reply to  Mike Mendola

It’s a powerful message. You’re not poor because you didn’t study for a career that would earn you a living. You’re not poor because you dropped out of school or had multiple children out of wedlock. You’re not poor from any of your bad decisions. No, you’re poor because rich people have been hoarding their money. You’re poor because rich people that hire you don’t pay you enough. You’re poor because republicans are taking money from you and giving it to the rich. Since they won’t share their “lucky” fortune we need to take it from them so they will… Read more »

Curious Karl
1 month ago

Just curious as to what your background is, and your current job?

James Brookman
1 month ago
Reply to  Mike Mendola

Rich people don’t employ anyone if they own a business the business employs people! Business owners have 2 taxes business and personal so raising taxes on rich people personal taxes has nothing to do with business!

The Truth Hurts
1 month ago
Reply to  James Brookman

Your comments are so ignorant that I’m assuming you are leaving these in jest. If not please google “pass-through” income. Whether you are joking or not you have done a great job highlighting the ignorance of the average voter. These people vote and yet have no idea how business operates. Illinois voters truly getting the level of government that they deserve.

Illinois Entrepreneur
1 month ago
Reply to  James Brookman

This comment tells me that you’ve never owned a business or employed people. You’ve never endured the sleepless nights of worrying about meeting payroll later in the week, or wondering how you’ll get through a tough month. Often times the owner of a business is the last to take a paycheck, and will ensure that his people gets paid first, just for the survival of the business. Being an entrepreneur means that you LIVE your business. There is no such thing as “separation” and yes, as pointed out by others, our taxes are intertwined as pass-through. My guess is that… Read more »

Defund Democraps
24 days ago
Reply to  James Brookman

Dude, listen to yourself.

David G Ford
1 month ago

Hate to be so blunt,but this states voters have been voting the same way for a bizillion years,aka,democrat tax and spend politicians,its time to wake up and vote differently,dont understand people complaining about the dire state that illinois is in and then go vote for more of the same ol same ol.Thats my 2 cents for what its worth.

Curious Karl
1 month ago
Reply to  David G Ford

This is correct, but the pendulum shouldn’t swing so far in the other direction that it is unfettered tax cuts and de-regulation.

We need more leaders in this state who have the best interest of the people and not just the small wealthy class that dangles support so the corrupt politicians can loot everything they can.

I am sick and tired of these “black & white” solutions. These are complex issues that need a multitude of actions to correct the path towards success.

David Ford
1 month ago
Reply to  Curious Karl

I agree karl,but democrats have ran this state for ever,except for rauner who was more a democrat than a republican ,if the populace keeps voting for democratic leaders then we will keep getting the same results

Eddie
1 month ago
Reply to  Curious Karl

My reply to David Ford:

There have been a few Republican governors too, including: 😐

Richard Olgivie (1969-1973),

James Thompson (1977-1991),

Jim Edgar (1991-1999) &

George Ryan (1999-2003).

While running against Adlai Stevenson (1982, 1986), Thompson would say the state finances are solid. After Thompson won, taxes were raised. ☹️

Last edited 1 month ago by Eddie
David Ford
1 month ago
Reply to  Eddie

Well said

DixonSyder
1 month ago
Reply to  David G Ford

Please rephrase that to “Cook County/Chicago ” voters gave voted the same way. 90+% of the counties in the state vote Republican but more than half of the population is in metro Chicago.

Eddie
1 month ago
Reply to  DixonSyder

There’s quite a few Democrats in Pembroke, Kankakee, East Saint Louis, Springfield, Peoria, Champaign, etc. 😐

David Ford
1 month ago
Reply to  DixonSyder

I cant argue with that

Benicia
1 month ago

Another unfortunate truth that we have seen in the past is that even if those responsible for jacking tax rates get dumped at the next election, their taxes always remain. There is never any reckoning for these people nor is there ever any reversal.

Curious Karl
1 month ago
Reply to  Benicia

Uh, if they lose their “job” as a representative than yeah it is a reckoning. Voting somebody out of office is punishing them.

Morefandave
1 month ago

I woudn’t get hit with an increase with THIS proposed tax rate. But I know this wouldn’t be the end of it. We, in the 97% need to stand beside our wealthier taxpayers who have stayed in this godforsakenly corrupt state and paid more than their share of taxes for so long instead of throwing them under the progressive bus. This proposal is a shameless attempt to engage in class warfare to turn us against each other. The enemy is not the wealthy;the enemy is the corrupt cabal who increase taxes without reforming anything. We all need to tell Pritzker,… Read more »

James Brookman
1 month ago
Reply to  Morefandave

The rich have gotten away with paying nothing for too long with loopholes and deductions the rich people aren’t paying anything getting rebates every year!

The Truth Hurts
1 month ago
Reply to  James Brookman

How are the rich not paying taxes in Illinois? What loopholes are they exploiting? What rebates are Illinois rich taxpayers getting? Wouldn’t it be easier to remove these loopholes that the rich are exploiting rather than propose a constitutional amendment? I’m curious…if the rich use all these loopholes and get rebates every year then how will this amendment raise any taxes for the state? Won’t those rich people just continue to use those same loopholes and continue to get those rebates? If that’s the case won’t the state then be forced to go after the middle class after all? Please… Read more »

Curious Karl
1 month ago

Yes, this is the correct take. This is how you tax people – enforce what is on the books first!

nixit
1 month ago

Regarding #12. The amendment allows for multiple income taxes: I found this as their reasoning for removing that clause: The prohibition on levying multiple income taxes was simply a companion to the requirement for a single, flat tax rate. Without that prohibition, the framers feared that lawmakers could levy a series of “flat” taxes on different levels of income, effectively creating a multi-tiered tax structure through a series of limited “flat” taxes on different levels of income. By allowing the state to create a multi-tiered tax structure, the prohibition on multiple taxes would become unnecessary. Furthermore, if supporters of the… Read more »

NB-Chicago
1 month ago
Reply to  nixit

Great comment, tried to ask similar question about but should have read your comment first!!

NoHope4Illinois
1 month ago

It’s amazing how TX is at the opposite of everything Illinois. Plano is the best place to move a HQ.

AG
1 month ago

No state Taxes for Texas, yet the Govt provides better services and schools and still operates in the green. The issue is the pensions. I know people contributed to a pension but all they created was a Ponzi scheme. It’s a shame because if you pass this tax change the jobs will definitely leave. It will not be worth it to stay. well especially with the new work from home world we live in.

Last edited 1 month ago by AG
Curious Karl
1 month ago
Reply to  AG

Good lord, they have horrible schools and meh services. They have “high” property taxes (relatively) that help fund specific areas. It is a very fractured state system that is very antithetical to a “government.”

The South has some of the most corrupt States, but you never talk about it. Louisiana, Mississippi, Georgia, etc. are so corrupt they make Illinois politicians look like children playing simple games.

AG
24 days ago
Reply to  Curious Karl

You are seriously bringing up schools property taxes. The rate of property taxes in IL is 1.79 while TX is 1.81. I’ll take 0 income taxes and .02 more in property taxes.

Texas school provide greater services and a better education.

I cannot comment on the other states but I did not bring those into the conversation. I’m just showing you an example of a state that is budget and cost conscience.

Defund Democraps
1 month ago

Yes it is unreal how dysfunctional Illinois truly is. I am three years removed and leaving Illinois was the best financial decision I have made in my life. Anywhere but Illinois. Don’t let Illinois squander your hard earned money.

Curious Karl
1 month ago

Plano is great for moving an HQ to avoid any responsibilities to paying to play in the American market. I know a company that avoids paying a substantial amount of taxes because their company HQ is listed as a “ranch.” They aren’t farmers, ranchers or anything agriculture related. They are financial services but don’t pay the appropriate and applicable taxes.

Now are they corrupt, smart, just exploiting the system or disloyal to the USA?

LessonLearned
1 month ago

This tax initiative won’t impact me as I’ll be gone by year end. That being said, I don’t think it matters much either way whether this progressive tax passes. The state will find a way to steal from the taxpayers. It always does.

I think the question nobody can answer with much confidence, including Wirepoints, is what will Illinois look like 5-10 years from now? The one thing I think we all can agree on is it will be worse than today. Probably a lot worse.

NoHope4Illinois
1 month ago
Reply to  LessonLearned

5-10 years from now Chicago will be in BK, like Detroit. That should be misery for those still here.

Morefandave
1 month ago
Reply to  LessonLearned

If Prizker and Madigan’s gang is forced to hit ALL taxpayers, there will be blowback; that’s why they’re trying to split us up.We need to make reform less politically painful for them than more taxes. Defeating this referendum would be a start.

Poor Taxpayer
1 month ago

Fact number 1– The rich will leave Illinois as fast as they can. Florida has Zero Income tax. Time to make Florida their permeant residence, they already own the second home. The Poor Honest Hard Working Taxpayer will end up paying much higher taxes. Their are many indirect taxes. Tax my income higher and I raise my prices to make up for the extra tax. Most Important Fact– There is NO FREE LUNCH. Another Fact- The huge pension costs are going to sink Illinois into the depth’s of Hell. The Problem is not income, but out of control spending and… Read more »

Riverbender
1 month ago
Reply to  Poor Taxpayer

and as Madigan will say “that’s someone else’s problem because by that time I will be dead.”

The Truth Hurts
1 month ago

Fact 5 for tax brackets look fairly accurate. Although I would argue that the 1 million plus bracket will be closer to the 13% range. The beast is hungry.

Morefandave
1 month ago

Illinois pension debt is like the Blob. It just keeps growing and consuming anything in its path. Approving this tax is just throwing more money down a bottomless pit.