Illinois’ pension crisis has been a growing problem for decades, and its negative effects on state residents are well documented.1 Economic fallout from the COVID-19 pandemic and related government shutdown orders threaten to bring that long-running crisis closer to its breaking point. The state’s five pension systems collectively held nearly $139 billion of debt at...View Report
Voters can expect to be bombarded by claims about the ‘fair tax’ until Nov. 3 – but what are the facts? Proponents have made misleading claims in hopes of convincing Illinoisans to do away with the flat tax.
Gov. J.B. Pritzker calls his $3.7 billion income tax hike a “fair tax.” But opponents have criticized the constitutional amendment as a blank check for House Speaker Mike Madigan and other state lawmakers, courtesy of Illinois taxpayers.
Illinois Gov. J.B. Pritzker’s ‘fair tax’ would raise Illinois business taxes to the highest in the nation as neighboring Indiana cuts taxes to draw businesses across the border.
Illinois politicians are already talking about taxing retirees, adding “surcharges” and city income taxes if they can convince voters to abandon the Illinois Constitution’s flat tax protection and give lawmakers greater taxing power.
The progressive tax amendment on the ballot Nov. 3 removes the constitutional prohibition on multiple taxation, in addition to removing the flat tax protection.
Pritzker has been pushing hard for a progressive income tax amendment as a way to generate $3.7 billion for state spending.
Illinois Treasurer Michael Frerichs said a progressive state income tax will open the door to taxing retirement income.
What to watch for as the Illinois General Assembly convenes for the first time in more than two months.
Removing the progressive tax question from the Nov. 3 ballot would give over 100,000 small businesses some certainty as they struggle to recover from the COVID-19 shutdown.
Small businesses face a potential income tax hike nearly 5 times larger than corporations under Gov. J.B. Pritzker’s “fair tax” amendment.