Illinoisans already pay some of the nation’s steepest tax bills, yet lawmakers continually talk about raising taxes even higher.
Illinoisans already face the highest overall state and local tax burden in the nation. In spite of this, politicians continue to discuss raising the state income tax. Illinoisans also pay the nation’s highest property taxes, while Illinois lawmakers have failed to enact any type of property tax reform.
In conjunction with Tax Day, experts at the Illinois Policy Institute are available to speak about the tax burden and how lawmakers can enact policies to provide relief for overtaxed Illinoisans.
Experts available:
Ted Dabrowski, vice president of policy
Michael Lucci, vice president of policy
Background: In addition to their federal tax bills, Illinois taxpayers face a hefty state and local tax burden:
- Property tax bills are growing faster than homeowners’ ability to pay for them. The Institute found that Illinoisans’ residential property-tax burden has risen 76 percent over the past 27 years when compared to household income.
- Illinois’ combined state and average local sales tax rate ranks highest in the Midwest, according to a report from the nonpartisan Tax Foundation.
- The accumulated retirement and health care debt for state and local government workers totals $267 billion. To fill the state budget gap in retiree pension and health care funding, each household is on the hook for $56,000.
- Illinois’ credit rating is the worst in the nation at Baa2, as scored by Moody’s Investors Service. This means the state faces penalties for borrowing money to pay back debt – penalties that taxpayers pay for politicians’ ineptitude.
- In Chicago, on top of sales and property taxes, residents have to pay more than 30 extra city taxes – such as plastic bag tax, water bottle tax, soda tax, parking tax, electricity use tax and more – which add up to more than $1,000 per household.
For bookings or interviews, contact: Melanie Krakauer, (312) 980-1259
The Illinois Policy Institute is a nonpartisan research and education organization. Our vision is to make Illinois first in economic outlook and job creation, and for Illinois to become a free enterprise leader for the rest of America. As a leading independent research and education organization, the Institute generates positive and sustainable policy solutions for citizens and lawmakers that help unleash talent and entrepreneurial ability. To learn more about the Institute or review our policy work, please visit: www.illinoispolicy.org.